Your home loan eligibility will be determined after considering the prescribed eligibility criteria based on the following parameters
The principal portion and the interest of your loan makes up the EMI or Equated Monthly Instalment of your home loan. In other words, EMI = Principal Amount + Interest Amount. Paid on a monthly basis, the EMI remains constant throughout the period of your loan, when you choose the fixed interest rate method.
Your Home Loan EMI depends on three factors
Use the following mathematical formula to calculate you EMI.EMI = P x r x ( 1 + r ) n / [ ( 1 + r ) n - 1 ]
Most people go for a home loan balance transfer for reasons of reduced interest rates, which in turn lower EMIs, and lead to savings.
When you go for a home loan transfer at lower interest rates, which reduce your EMIs, this may also reduce the overall tenure of your home loan.
Many institutions offer you top up loan facilities when you request a home loan balance transfer. This top up facility may help you pay off your immediate debts to reduce debt burden, or use the same for home renovation purposes.
Check with your lender if there are any additional offers on your home loan balance transfer facility to make the most of a balance transfer.