Home Loan Eligibility

Calculate your maximum home loan amount based on income, existing debts, FOIR limits, and tenure — the same method Indian banks use.

Loan Parameters

Monthly Net Income₹80,000
₹20,000₹5,00,000
Existing EMIs / Month₹10,000
₹0 (none)₹1,00,000
Interest Rate (% p.a.)8.5%
6%15%

Most Indian banks use 40–50%. Conservative = 40%, Liberal = 55%.

Maximum Eligible Loan Amount

₹34,56,925

Based on 50% FOIR · 20-year tenure · 8.5% interest

Max EMI Capacity

₹40,000

Available for Home Loan EMI

₹30,000

Total Interest Payable

₹37,43,075

Affordable Property Value (RBI LTV Guidelines)

If Bank Finances 90% (loans ≤₹30L)
₹38,41,028
If Bank Finances 80% (loans ₹30–75L)
₹43,21,156

FOIR Usage After Home Loan

Existing
Home Loan EMI

Total FOIR used: 50% of ₹80K income

It's always about your repayment capacity, not just your salary.

How Banks Calculate Home Loan Eligibility

Indian banks use FOIR (Fixed Obligation to Income Ratio) to determine how much of your monthly salary can go toward EMI. They typically allow 40–50% of net income. Your age also limits the maximum tenure, since loans must close before retirement age (60–65 years).

Frequently Asked Questions

What is FOIR in home loan eligibility?

FOIR (Fixed Obligation to Income Ratio) is the percentage of your monthly income that can go toward EMI payments. Most Indian banks cap FOIR at 40–50%. If your income is ₹80,000/month, your total EMI obligations (existing + new) should not exceed ₹32,000–₹40,000.

How does age affect home loan eligibility?

Banks limit loan tenure based on your age so the loan closes before retirement (typically 60–65 years). A 25-year-old can get a 30-year tenure, while a 45-year-old may only qualify for 15–20 years — which raises the EMI and reduces the eligible loan amount.

Do existing EMIs reduce my eligibility?

Yes. If you already pay ₹15,000/month in EMIs (car loan, personal loan, etc.), that directly reduces the amount available for home loan EMI under the FOIR limit. Always clear high-EMI debts before applying for a home loan to maximize eligibility.

What is the maximum loan-to-value (LTV) ratio?

As per RBI guidelines, banks can finance up to 90% of property value for loans up to ₹30 lakhs, 80% for ₹30L–₹75L, and 75% for above ₹75L. The rest must be your own down payment. This calculator estimates based on your repayment capacity.