Home Loan Stress: Extend Tenure or Raise EMI? Choose Wisely for 2025

• Home loan stress in 2025 offers two main solutions: extending tenure for lower EMI or increasing EMI for faster repayment.
• Extending tenure provides immediate cash flow relief, crucial during financial uncertainty, but significantly increases total interest paid over the loan's lifetime.
• Increasing EMI reduces the principal faster, leading to substantial savings on total interest, ideal for those with stable or improved income.
• The best strategy hinges on cash-flow resilience; avoid sacrificing emergency funds for a higher EMI.
• A practical approach involves using tenure extension as a temporary measure during tough times, then reassessing to shorten the loan period when finances improve.

Why It Matters: Choose home loan strategy based on current cash flow and revisit it; don't let tenure expand on autopilot.