Case 2: Monthly income Rs 50000 Monthly income of the individual 50000 Loan size as no of times of monthly income 30 total loan size LTV ratio Instalment to income ratio Value of the house Rate of interest
Repayment of loan and interest thereon
1500000
year
Interest
Total Principal instalment
75%
1 1,65,000 43,598
2,08,598
34.77%
2 1,60,204 48,394
2,08,598
2000000
3 1,54,881 53,717
2,08,598
11%
4 1,48,972 59,626
2,08,598
5 1,42,413 66,185
2,08,598
6 1,35,133 73,465
2,08,598
7 1,27,052 81,546
2,08,598
No of years of loan 15 years Assume annual loan repayment for the sake of brevity Year 1
Year 2
Year 3
Total annual income of the individual
600000 600000 600000
8 1,18,082 90,516
2,08,598
Deduction u/s 24 (b)
150000 150000 150000
9 1,08,125 1,00,473
2,08,598
Gross total income
450000 450000 450000
1,11,525
2,08,598
11 84,805
1,23,793
2,08,598
Deduction u/s 80C
43598
48394
Deductioon u/s 80 EE
15000
10204
12 71,188
1,37,410
2,08,598
391402 391402 396283
13 56,073
1,52,525
2,08,598
14 39,295
1,69,303
2,08,598
15 20,672
1,87,926
2,08,598
Taxable income
Total benefit u/s 80EE availed
25204
53717
10 97,073