Projected home equity
Property value minus projected secured debt
India · INR
Estimate the Equity You Have Built in Your Property
Estimate how much of your property you own, usable equity at a target LTV and the effect of a top-up or loan against property.
Property-value sensitivity
Estimated equity after proposed borrowing and immediate home-loan paydown
| Value change | Property value | Secured debt | Home equity | Equity percentage | Combined LTV |
|---|
Year-by-year equity projection
Uses your entered property-growth and home-loan-paydown assumptions
| Year | Property value | Existing secured debt | New borrowing | Total debt | Home equity | Combined LTV |
|---|
Planning estimate only—not a valuation, credit decision or commitment to lend. A lender assesses income, expenses, credit, loan purpose, property, valuation and serviceability. Borrowing secured against your home puts the property at risk if repayments are not made.
Indian homeowner guide
How much equity do you have in your home?
A property valuation and a loan statement answer different questions. The valuation estimates what the home may be worth; the statement shows what you still owe. Subtract all entered secured balances from the value to estimate equity. On a ₹1 crore property with ₹55 lakh of secured debt, that leaves ₹45 lakh before any sale‑related costs.
Total equity is not the same as usable or borrowable equity. A bank or housing finance company uses its own valuation and LTV policy, then assesses repayment capacity, credit profile, title, property details and loan purpose.
How usable home equity is calculated in India
A planning method is to multiply the lender‑accepted property value by a target LTV and subtract existing secured debt. At a 70% target, a ₹1 crore property produces maximum planning debt of ₹70 lakh. Subtracting a ₹55 lakh home‑loan balance leaves ₹15 lakh of estimated usable equity.
Seventy per cent is an editable illustration, not a guaranteed limit. The permitted LTV can differ by institution, product, loan size, property and purpose. Valuation, income, existing obligations, credit profile and remaining tenure may reduce the sanctioned amount.
Home‑loan top‑up
An existing lender may offer a top‑up subject to repayment history, remaining tenure, valuation and eligible purpose. Its rate and term can differ from the original home loan.
Loan against property
A loan against property is secured lending that may be used for approved personal or business purposes. Pricing and LTV are often different from a housing loan.
Balance transfer with top‑up
A new lender may refinance the existing balance and approve extra borrowing. Compare processing, valuation, legal, mortgage and closure costs with the total saving.
Reverse mortgage
India’s reverse‑mortgage framework is a separate later‑life product for eligible senior homeowners. It is not modelled by this standard repayment calculator.
Top‑up and loan‑against‑property repayments
The payment section compares a reducing‑balance EMI illustration with an interest‑only scenario. An EMI reduces principal over the selected tenure. An interest‑only payment does not reduce the borrowed balance, so the displayed total assumes principal is repaid at the end.
Because the borrowing is secured on the property, missed payments can put the home at risk. Compare the annual rate, processing charges, legal and valuation costs, EMI and total interest — not only the amount released.
Why property‑value scenarios matter
Usable equity depends on the value accepted by the lender. The sensitivity table shows how a 10% or 20% decline could reduce equity and increase LTV after the proposed borrowing. The projection is an illustration, not a property‑price forecast; growth and annual principal reduction may be higher, lower or uneven.
For a focused ratio comparison, use the India LTV calculator. To compare home‑loan EMI and total interest, use the India mortgage calculator.
Reverse mortgage loans are different
The National Housing Bank’s reverse‑mortgage framework describes a separate equity‑release arrangement for eligible senior citizens who own and occupy qualifying residential property. Payments, eligibility and repayment mechanics differ from a top‑up or loan against property. Review the NHB reverse‑mortgage operational guidance and obtain independent advice before considering one.
From ownership equity to borrowing room
At an illustrative 70% LTV target, a ₹1 crore property supports ₹70 lakh of total planning debt. After ₹55 lakh already owed, the estimated room is ₹15 lakh. This does not mean the entire ₹45 lakh ownership equity can be borrowed. The personal equity buffer supplies a second, editable limit that may be stricter or more flexible than the LTV target.
The projection is not an amortisation schedule
The annual table reduces existing secured debt by the fixed annual principal‑paydown amount you enter. For the new repayment loan, it reduces principal evenly across the selected years; it does not use the curved reducing‑balance schedule behind the EMI estimate. In interest‑only mode, new principal stays outstanding. The immediate paydown and one‑off value‑change inputs affect the separate scenario, not the annual projection.
Net proceeds and the interest‑only option
Percentage and fixed costs are deducted from proposed borrowing to estimate net proceeds, rather than added to the principal. The interest‑only option estimates interest payments and includes principal in its total repayment figure, but does not establish that such a facility is available. Its annual projection continues to show that principal outstanding.
India home equity calculator questions
Is equity the amount I can borrow?
No. Equity is property value less secured debt. Borrowing room applies your chosen LTV ceiling first, then deducts existing secured balances. Actual approval can be lower.
Does the annual table use the same repayment schedule as the EMI?
No. It uses fixed annual paydown for existing debt and straight-line principal reduction for a new repayment loan. It is a simplified equity scenario, not an EMI amortisation schedule.
Are fees added to the proposed loan?
No. Entered percentage and fixed costs reduce net proceeds. The proposed principal remains unchanged.