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Home Loan Eligibility Calculator

Find out how much home loan you qualify for — based on your income and obligations

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How Banks Decide Your Loan Eligibility

Banks use two key checks before approving your home loan: your income-to-EMI ratio (FOIR) and the property's value (LTV). Understanding both helps you plan better before approaching a lender.

Your eligibility = what the bank is willing to lend, not just what you want to borrow.

How Home Loan Eligibility Is Calculated

  1. FOIR check (income side) — Banks allow 40–50% of your net monthly income for all EMIs combined. If you already have a car loan EMI, that eats into this limit.
  2. Find your maximum EMI — Max EMI = (Net income × FOIR%) − Existing EMIs
  3. Back-calculate the loan amount — Using the EMI formula, the max loan you can get for that EMI at your chosen rate and tenure is derived.
  4. LTV check (property side) — Banks lend up to 75–90% of the property's registered value (lower for higher loan amounts). The rest is your down payment.
  5. Final eligibility — The lower of the income-based and LTV-based figures is your actual eligible loan.

The Key Formula

Max Loan = EMI × [(1+r)ⁿ − 1] / [r × (1+r)ⁿ]
EMI = Max allowable EMI = (Net income × FOIR%) − Existing EMIs
r = Monthly interest rate (annual rate ÷ 12 ÷ 100)
n = Tenure in months
FOIR = Fixed Obligation to Income Ratio (banks typically use 40–50%)

Example: ₹1 Lakh Monthly Income

Net Monthly Income ₹1,00,000
Existing EMIs (car loan) ₹8,000
FOIR allowed (50%) ₹50,000
Max New EMI Possible ₹42,000 (50K − 8K)
Interest Rate / Tenure 8.5% / 20 years
Eligible Loan Amount ≈ ₹43.3 Lakh
Property Value (at 80% LTV) ≈ ₹54 Lakh

Eligibility by Income — Quick Reference

Based on 50% FOIR, 8.5% interest, 20-year tenure, and no existing EMIs:

Net Monthly Income Max Monthly EMI Eligible Loan Property Value (80% LTV)
₹40,000₹20,000≈ ₹20.6L≈ ₹25.7L
₹60,000₹30,000≈ ₹30.8L≈ ₹38.5L
₹80,000₹40,000≈ ₹41.1L≈ ₹51.4L
₹1,00,000₹50,000≈ ₹51.4L≈ ₹64.3L
₹1,50,000₹75,000≈ ₹77.1L≈ ₹96.4L
₹2,00,000₹1,00,000≈ ₹1.03Cr≈ ₹1.28Cr

*Illustration only. Actual eligibility depends on credit score, age, employer, and lender policies.

Boost Your Eligibility

Pre-close smaller loans before applying. A ₹8,000 car EMI reduces your home loan eligibility by ₹8+ lakh. Add a co-applicant (spouse) with income to combine FOIR limits and get significantly higher eligibility.

Your Home Loan Eligibility Calculator

Take-home salary after taxes and PF
Car loan, personal loan, credit card EMIs, etc.
Current home loan rates: 8.35%–9.5%
Longer tenure = higher eligibility, more interest
% of income banks allow for all EMIs
% of property value the bank will fund

Your Estimated Eligibility

Max Home Loan
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Monthly EMI
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Property Value (at LTV)
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Important Note

This calculator gives a broad estimate. Final eligibility also depends on your CIBIL score (750+ recommended), age, employment type, employer category, property documents, and the specific lender's credit policy. Always check with 2–3 banks before deciding.

Factors That Affect Eligibility

CIBIL Score

750+ gets the best rates and easier approval. Below 650, most banks will reject or offer higher rates. Check yours at CIBIL.com for free once a year.

Age at Loan End

Most banks require the loan to be fully repaid before age 60–65 (salaried) or 70 (self-employed). Age 40 + 20-year tenure = repaid at 60 ✓.

Job Stability

Government/PSU employees get higher FOIR (up to 55–60%). Private sector salaried get ~50%. Self-employed typically need 3 years of ITR proof.

Co-Applicant

Adding a spouse or parent as co-applicant combines both incomes for FOIR calculation. This can increase eligibility by 40–80%.

Frequently Asked Questions

On a ₹50,000 net monthly salary with no existing EMIs, at 8.5% for 20 years with 50% FOIR, you can typically get a home loan of approximately ₹25–27 lakh. The exact amount depends on your CIBIL score, employer category, and the bank's specific policy. Adding a co-applicant with income can significantly increase this.
FOIR (Fixed Obligation to Income Ratio) is the percentage of your monthly income that can go toward all EMI payments combined. If your FOIR limit is 50% and you earn ₹1 lakh, your total EMIs (old + new home loan) cannot exceed ₹50,000. Pre-closing existing loans before applying for a home loan directly increases your eligible home loan amount.
Yes. LTV (Loan-to-Value) is the maximum % of a property's value that the bank will finance. For loans up to ₹30L, LTV is 90% (down payment 10%). For ₹30L–₹75L, it's 80% (down payment 20%). Above ₹75L, it's 75% (down payment 25%). So even if your income qualifies you for ₹1 crore, if you're buying a ₹1 crore property, the bank will only fund ₹75 lakh.
Yes — several ways: (1) Pre-close existing loans to free up FOIR room. (2) Add an earning co-applicant. (3) Improve CIBIL score to 750+ for better rates and higher FOIR. (4) Opt for a longer tenure (20 vs 15 years increases loan amount significantly). (5) Declare all income sources — variable pay, rental income, freelance income counted by some banks.
Standard documents: Last 3 months salary slips, last 6 months bank statements, last 2 years Form 16 / ITR, PAN card, Aadhaar, passport-size photos, employment letter, and property documents (sale agreement, NOC, title deed). Self-employed applicants need 3 years ITR, CA-certified financials, and business registration proof.