Home Loan EMI & Eligibility Calculator India

Estimate EMI, total interest paid, and your loan eligibility based on salary. Compare tenures side-by-side with amortisation chart.

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Banks fund max 80% of property value (LTV)
✅ Loan Eligibility Check
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Car loan, personal loan, credit card EMI etc.
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Most banks allow 40–50% of gross income as total EMI obligations
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How Home Loan Eligibility is Calculated in India

Calculating your home loan eligibility isn't just about how much you earn. Banks look at your "repayment capacity," which is a combination of your income, existing debts, age, and the value of the property you intend to buy. For most salaried professionals in India, banks typically lend between 5 to 6 times their annual gross salary, provided they have no other existing EMIs.

1. FOIR (Fixed Obligation to Income Ratio)

The most critical factor in loan approval is your FOIR. This ratio represents the percentage of your monthly income that goes towards paying debts (including the proposed home loan). Most Indian banks (like SBI, HDFC, and ICICI) prefer an FOIR between 40% to 55%.

For example, if you earn ₹1,00,000 per month and the bank uses a 50% FOIR, your total monthly EMI limit is ₹50,000. If you already have a car loan EMI of ₹10,000, the bank will only allow a home loan EMI of ₹40,000.

2. LTV (Loan to Value) Ratio

While you might be eligible for a ₹1 Crore loan based on your salary, the bank will never fund 100% of the property cost. Under RBI guidelines, the LTV ratio is capped based on the property value:

This means if you are buying a house worth ₹1 Crore, you must be prepared to pay at least ₹25 Lakhs as a down payment from your own savings.

3. The Impact of Credit Score (CIBIL)

A CIBIL score of 750 or above is considered ideal. A high credit score not only ensures faster approval but can also help you secure a lower interest rate. Even a 0.05% difference in interest rates can save you lakhs of rupees over a 20-year tenure.

Strategies to Increase Your Home Loan Eligibility

Frequently Asked Questions

Most banks offer a maximum tenure of 30 years. However, the tenure is usually capped such that the loan is repaid before the borrower reaches the age of 60 (for salaried) or 65-70 (for self-employed).
Indirectly, yes. A higher down payment reduces the LTV ratio. Some banks offer "risk-based pricing," where a lower LTV (less than 70%) might qualify for a slightly better interest rate as it represents lower risk to the lender.
Yes, but this is called a "Land Loan" or "Plot Loan." The rules are slightly different: the maximum tenure is often restricted to 15 years, and you are usually required to start construction within a specific timeframe (typically 2-3 years) to avail tax benefits.
Under the Old Tax Regime, you can claim: (1) Up to ₹1.5 Lakh on principal repayment under Section 80C, and (2) Up to ₹2 Lakh on interest payment under Section 24(b). These benefits are generally NOT available under the New Tax Regime.
Legally, no. However, most banks strongly insist on "Home Loan Protection Plans" (HLPP) or term insurance to cover the loan amount in case of the borrower's demise. It is a wise financial move to protect your family from debt.
A pre-approved loan is an in-principle approval based on your income and creditworthiness, before you have even selected a property. It is usually valid for 6 months and gives you better negotiating power with builders.
⚠️ EMI and eligibility are estimates. Actual eligibility depends on your credit score and bank's internal policies. Full Disclaimer