The total interest payable over a 20-year tenure is more than the principal amount. If a buyer seeks to buy a property worth Rs 40 lakh, factoring in the LTV (Loan to value) ratio, the total borrowed amount is Rs 30 lakh for 20 years. In this scenario, the buyer would have paid an EMI of Rs 22,700 in 2021, when the interest rates stood at approx. 6.7 per cent. "At this rate, the total repayment to the bank was approx. Rs 54.5 lakh, of which the interest component was approx. Rs 24.5 lakh - less than the total principal amount," says Thakur. "Today, when home loan interest rates hover at around 9.15 per cent, this buyer's EMI is approx. Rs 27,300. The total repayment to the bank at this rate is now approx. Rs 65.5 lakh, of which the interest component will be approx. Rs 35.5 lakh - more than the total principal amount," he says.