Home Loan Eligibility Calculator
Estimate how much home loan you can get based on your income, existing EMIs and FOIR.
India-specific calculator. It uses Indian rules, rates and rupee amounts, and the currency selector is switched off on this page.
The home loan eligibility calculator estimates how much a bank may lend you. Lenders work out the maximum EMI you can service using a ratio called FOIR (Fixed Obligation to Income Ratio), typically 40–60% of your net monthly income. Existing EMIs are subtracted from that headroom, and the remaining amount is converted into a loan.
How to use the calculator
- Enter your net monthly income (take-home).
- Add all your existing EMIs — car loan, personal loan, credit card EMIs.
- Set the interest rate and tenure you are considering.
- Pick the FOIR your lender uses to see a realistic eligible amount.
How it is calculated
Loan = EMI × [1 − (1 + r)−n] ÷ r
Where r = annual rate ÷ 12 ÷ 100 and n = tenure in months.
Worked example
₹1,00,000 income, ₹10,000 existing EMIs, 8.5%, 20 years, 50% FOIR
Maximum EMI = 50,000 − 10,000 = ₹40,000
Eligible loan ≈ ₹46,00,000, with total interest of roughly ₹50,00,000 over 20 years.
Who should use this calculator
- First-time buyers working out a realistic budget before they start viewing properties.
- Salaried borrowers with existing car or personal loan EMIs, who need to know how much those obligations reduce their borrowing power.
- Anyone comparing lenders, where one applies a stricter FOIR than another.
- Buyers considering a co-applicant and wanting to see how a second income changes the numbers.
Common mistakes to avoid
- Treating eligibility as the sanctioned amount. Eligibility is the outer limit. The final sanction depends on your credit score, employment history, the property's valuation and the lender's own policy.
- Forgetting the loan-to-value cap. Most lenders fund only 80–90% of the property value. For a ₹60 lakh flat, the loan may be capped well below what your income could support.
- Ignoring existing EMIs. Every running loan reduces your available repayment capacity. Closing a small personal loan before applying can meaningfully increase eligibility.
- Budgeting only for the EMI. Stamp duty, registration, brokerage, and interiors are typically 8–12% of the property price and usually cannot be funded by the home loan itself.
- Applying everywhere at once. Multiple loan enquiries in a short period can pull your credit score down, which affects both eligibility and the rate you are offered.
Eligibility is not the same as affordability
Lenders calculate eligibility using FOIR — the share of your monthly income they allow for all EMIs combined, commonly 40–60%. If your take-home is ₹1,00,000, existing EMIs are ₹10,000 and the bank uses 50%, the maximum new EMI is ₹40,000, which converts into a loan of roughly ₹46 lakh over 20 years at 8.5%.
That does not mean you should borrow it. A ₹40,000 EMI leaves you with ₹50,000 a month for everything else, including the maintenance and property tax that come with owning a home. A sensible rule is to keep total EMIs under about 35–40% of take-home and to hold three to six months of expenses in reserve before taking on a long-term loan.
Home loan terms explained
- FOIR
- Fixed Obligation to Income Ratio — the percentage of monthly income a lender allows for all EMIs, including the one you are applying for.
- LTV ratio
- Loan to Value — the maximum share of the property price a lender will fund. The rest is your down payment.
- Credit score
- A three-digit summary of your repayment history, typically 300–900. Scores above 750 usually attract better rates and higher eligibility.
- Co-applicant
- A second borrower whose income is added to yours, which can raise eligibility — though they become equally liable for the loan.
- Pre-EMI
- Interest-only payments made on a partly disbursed loan, typically during construction, before the full EMI begins.
Frequently asked questions
What is FOIR?
FOIR (Fixed Obligation to Income Ratio) is the share of your monthly income a lender allows for all EMIs combined. Most banks accept 40–50%, and up to 60% for applicants with strong income and credit scores.
Can I get a higher loan?
Yes — add a co-applicant whose income is included, close existing loans to free up FOIR, choose a longer tenure, or improve your credit score. A higher down payment also reduces the loan you need.
Is the eligible amount the final loan?
No. Eligibility is only the maximum a lender may offer. The final sanction also depends on your credit score, employment stability, the property value and the lender\u2019s internal policy — most banks cap the loan at 80–90% of the property value.