Planning a ₹10 lakh home loan? At a typical 8.5% annual rate over 15 years, your EMI works out to approximately ₹9,847 per month.
Quick answer: The EMI on a ₹10 lakh home loan at 8.5% for 15 years is ₹9,847 per month. You repay ₹17,72,531 in total, of which ₹7,72,531 is interest. A take-home income of about ₹24,618 keeps this EMI within the safe 40% limit.
The full cost
| Loan amount | EMI (15 yrs @ 8.5%) | Total paid | Total interest |
|---|---|---|---|
| ₹10 lakh | ₹9,847 | ₹17,72,531 | ₹7,72,531 |
How the interest rate changes your EMI
| Rate | EMI | Total interest |
|---|---|---|
| 7.50% | ₹9,270 | ₹6,68,622 |
| 8.00% | ₹9,557 | ₹7,20,174 |
| 8.50% | ₹9,847 | ₹7,72,531 |
| 9.00% | ₹10,143 | ₹8,25,680 |
| 9.50% | ₹10,442 | ₹8,79,604 |
Year-by-year: where your EMIs actually go
| Year | Principal paid | Interest paid | Balance left |
|---|---|---|---|
| Year 1 | ₹34,492 | ₹83,677 | ₹9,65,508 |
| Year 2 | ₹37,541 | ₹80,628 | ₹9,27,967 |
| Year 3 | ₹40,859 | ₹77,310 | ₹8,87,108 |
| … | |||
| Year 8 | ₹62,404 | ₹55,765 | ₹6,21,817 |
| Year 14 | ₹1,03,734 | ₹14,435 | ₹1,12,903 |
| Year 15 | ₹1,12,903 | ₹5,266 | ₹0 |
Notice the early years: interest dominates every EMI at the start, and the halfway point of a 15-year loan still leaves well over half the balance unpaid. That asymmetry is exactly why prepaying early is so powerful.
What prepayment saves on this loan
| Strategy | Loan closes in | Interest saved |
|---|---|---|
| Pay EMI only (₹9,847) | 180 months | — |
| One extra EMI every year | 156 months (24 saved) | ₹1,15,333 |
| Pay 10% higher EMI (₹10,832) | 151 months (29 saved) | ₹1,44,132 |
| Prepay ₹50,000 once a year | 104 months (76 saved) | ₹3,51,289 |
The savings above assume you ask the bank to cut the tenure, not the EMI — the rest of the prepayment mechanics, including what a lender may and may not charge, is set out once in EMIs in India rather than repeated on every loan page.
The income you need for this EMI
| Lender comfort level | EMI share of take-home | Take-home needed |
|---|---|---|
| Comfortable | 30% | ₹32,825 |
| Standard approval ceiling | 40% | ₹24,618 |
| Stretched (avoid) | 50% | ₹19,695 |
Remember the ceiling applies to all EMIs combined. If you already pay ₹4,000 elsewhere, lenders will count it against this application.
Frequently asked questions
What happens to this EMI if rates rise by 1%?
At 9.50% the EMI becomes ₹10,442 — ₹595 more each month.
Should I choose a shorter tenure?
If the EMI fits under 40% of take-home, yes: the same loan over 10 years costs ₹12,399/month but saves roughly ₹2,84,703 in interest versus 15 years.
For a different amount, rate or tenure, use the EMI calculator.
What a loan this size actually asks of you
At ₹10,00,000, the ₹9,847 EMI usually sits inside one salary comfortably, which is exactly when borrowers over-extend on tenure. A shorter tenure costs more per month and far less in total: the ₹7,72,531 of interest here is the price of spreading it over 15 years.
Prepayment rules, joint-loan eligibility, the tax deductions, fixed versus floating and the balance-transfer maths are the same whatever you borrow — they are covered once, in full, in the complete guide to home loan EMIs in India.
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