The EMI for a 20 lakh home loan will depend on the interest rate and the tenure period that you and your lender agree upon. For instance, if you get an interest rate of 8% and a tenure period of 20 years, your Equated Monthly Instalment(EMI) will be Rs.16,729. When your tenure is long it seems like you have lower EMIs, however its best to take a loan for the shortest period of time. In a long term loan, the interest outgo will become too high.
Only with a good credit score will you be able to bargain with your lender for a low interest loan and for the loan amount you want. When your lender checks your credit report and finds an unresolved negative account, you might not get the loan at the terms that you wanted or worse, you wouldn’t even be eligible for the loan. So it’s better to keep a good credit score before applying for the home loan you want.