Adjustable Rate Mortgage Calculator

Calculate payments for an adjustable-rate mortgage. See how rate changes after the introductory period impact your monthly payment.

Your Monthly EMI

โ‚น1,703

Principal

โ‚น3,00,000

Total Interest

โ‚น3,13,212

Total Payable

โ‚น6,13,212

Breakdown

Principal: โ‚น3,00,000 (49%)

Total Interest: โ‚น3,13,212 (51%)

Interest-to-Principal: 104.4%

๐Ÿ“Š Interactive EMI Breakdown

Principal vs Interest

Principal: โ‚น3.00 L
Interest: โ‚น3.13 L

Year-by-Year Payment Split

Loan Scenario Comparison

MetricYour plan+1% Interest (6.5%)+12 Months (372mo)
Monthly EMIโ‚น1,703โ‚น1,896 โ†‘ โ‚น193โ‚น1,682 โ†“ โ‚น21
Total Interestโ‚น3,13,212โ‚น3,82,633 โ†‘ โ‚น69,421โ‚น3,25,674 โ†‘ โ‚น12,462
Total Payableโ‚น6,13,212โ‚น6,82,633โ‚น6,25,674

How Adjustable Rate Mortgages Work

An ARM offers a lower fixed rate for an intro period (typically 3, 5, 7, or 10 years), then adjusts periodically based on a reference index plus a margin. Common structures:

  • 5/1 ARM: Fixed for 5 years, adjusts annually after
  • 7/6 ARM: Fixed for 7 years, adjusts every 6 months
  • 10/1 ARM: Fixed for 10 years, adjusts annually

Rate caps limit how much the rate can change: initial cap (first adjustment), periodic cap (each subsequent adjustment), and lifetime cap (maximum over the loan's life).

Adjustable Rate Mortgage Calculator FAQ

๐Ÿ“˜ Key Term

Floating RateAn interest rate that changes periodically based on a benchmark rate (like RBI repo rate). Floating rates are typically 1-2% lower than fixed rates. When the benchmark rate changes, your EMI or tenure adjusts accordingly. Most Indian home loans use floating rates.Read full definition โ†’