Home Loan Interest Rate Latest News: EMIs go up as banks hike rate; Check calculator, impact on your monthly budget

The current home loan interest rates for SBI, HDFC Bank and other lenders currently stand between 8.4 and 9%. In this calculator, we are assuming that the loan was earlier granted at 7% interest and now the increased rate is 8.5%. (Pixabay Image)

A home loan of Rs 20 lakh earlier granted at the rate of 7% for 20 years had an EMI of Rs 15,506. However, at the rate of 8.5%, the current EMIs stand at Rs 17,356 if the tenure is not increased. This is an increase of Rs 1,850 per month or Rs 22,200 per year. (Pixabay Image)

If you have taken a home loan of Rs 30 lakh earlier at the rate of 7% for 20 years, your EMI would be around Rs 23,259. However, at the rate of 8.5%, the current EMIs stand at Rs 26,035 if the tenure is not increased. This is an increase of Rs 2,776 per month or Rs 33,312 per year. (Pixabay Image)

A home loan of Rs 40 lakh for a tenure of 20 years at the rate of 7% comes with an EMI of Rs 31,012 while the EMI stands at Rs 34,713 at the rate of 8.5%. This is an increase of Rs 3,701 per month or Rs 44,412 per year. (Pixabay Image)

The above calculations show that the average increase in home loan interest rate is around 1.5% while the increase in EMI is somewhere between Rs 1,800 to Rs 3,700 per month or between Rs 20,000 to Rs 45,000 per year. This has clearly put more burden on the middle class.  (Pixabay Image)