Home loan balance transfer (refinance) calculator

A rate cut of even 0.5% on a large outstanding balance can save lakhs, but transfer costs eat into the first year. The tool nets the saving against fees and tells you how many months it takes to break even.

Net saving over remaining tenure₹4.78 L
Current EMI
₹42,845
New EMI (same tenure)
₹40,469
Monthly saving
₹2,376
Break-even on fees
15 months
Verdict
Worth switching: saving clearly exceeds the costs.

Copy link to this calculation · JSON API · Estimates only; verify rates with the source below.

How it is calculated

Both EMIs are computed on the same outstanding balance and remaining tenure; monthly saving × months − transfer costs = net saving. Break-even = costs ÷ monthly saving. Most lenders also let existing borrowers reset to the current rate for a small conversion fee, which is often cheaper than a transfer.

Worked example

₹45 lakh outstanding, 216 months left, 9.25% → 8.4%: EMI drops from ₹43,600 to ₹41,200, saving ₹2,400 a month; ₹35,000 of fees breaks even in 15 months and the net saving is about ₹4.8 lakh.

Frequently asked questions

When is a home loan balance transfer worth it?

When the rate gap is at least 0.5%, more than 8–10 years of tenure remain and the transfer costs are recovered within about two years.

What does a balance transfer cost?

Processing fee (0.25–0.5% or a flat ₹5,000–15,000), legal and valuation charges, MOD/stamp charges on the new mortgage deed, and a small foreclosure charge if the old loan was fixed-rate.

Can I ask my existing bank to lower the rate instead?

Yes. Ask for a rate reset or spread revision; lenders usually charge a conversion fee of a few thousand rupees, far less than a transfer.

Estimates for planning only; not financial, legal or tax advice. Figures reflect common practice and published rates as of November 2026. Found an outdated rate? Email hello@zeorent.com.