Home Loan Eligibility Calculator
Find out how much home loan you can get based on your salary, existing EMIs, and bank FOIR norms.
Income & Obligations
In-hand salary after tax and PF deductions.
Car loan, personal loan, credit card EMIs, etc.
Loan Preferences
Fixed Obligation to Income Ratio. Usually 50% for avg income, up to 65% for high income.
You are eligible for a Home Loan of up to
Proposed EMI: ₹35,000 / month
Total Interest Payable
Total Amount Payable
Principal + Interest
Monthly Income Distribution
Loan Breakdown
Eligibility Insights
Based on a FOIR of 50%, banks will allow a maximum of ₹50,000 of your income to go towards all EMIs combined.
Your existing EMIs of ₹15,000 reduce your home loan eligibility. Clearing these debts could increase your eligible loan amount significantly.
Pro Tip: To increase your eligibility, you can add a working spouse or family member as a co-applicant. Their income will be added to yours, increasing the overall FOIR limit.
Understanding Home Loan Eligibility
Before applying for a home loan, it's crucial to know how much a bank is willing to lend you. Banks use specific financial metrics to ensure you can comfortably repay the loan without defaulting.
What is FOIR?
Fixed Obligation to Income Ratio (FOIR) is the most important metric used by lenders. It calculates the proportion of your income that is currently being used to pay fixed obligations (like EMIs).
Most banks cap FOIR at 40% to 60%. This means they assume you need at least 40-60% of your income for living expenses, and only the remaining portion can be used to service debt.
How to Improve Your Eligibility
- Add a Co-applicant: Adding an earning spouse or family member combines your incomes, significantly boosting your loan eligibility.
- Clear Existing Debt: Paying off personal loans, car loans, or credit card debt reduces your existing obligations, freeing up room for a larger home loan EMI.
- Increase Loan Tenure: Opting for a longer tenure (e.g., 25 or 30 years instead of 15) reduces the monthly EMI, which allows you to qualify for a larger principal amount under the same FOIR limit.
- Declare Additional Income: If you have rental income, freelance income, or annual bonuses, declaring them with proper proof can increase your assessed net income.
Frequently Asked Questions
What is FOIR (Fixed Obligation to Income Ratio)?
FOIR is a parameter used by banks to determine your loan eligibility. It represents the maximum percentage of your net monthly income that can be used to pay all your EMIs (existing + proposed). Most banks consider a FOIR of 40% to 60% depending on your income level.
How do existing loans affect my home loan eligibility?
Existing loans reduce your repayment capacity. The EMIs you are currently paying are deducted from your maximum allowed EMI limit (calculated via FOIR), which directly reduces the home loan amount you are eligible for.
Can I increase my home loan eligibility?
Yes, you can increase your eligibility by: 1) Adding a co-applicant (like a spouse) to combine incomes. 2) Clearing existing debts/loans. 3) Opting for a longer loan tenure. 4) Showing additional sources of stable income.
Does age affect home loan eligibility?
Yes, banks usually require the loan to be fully repaid before your retirement age (typically 60 years for salaried individuals). If you are older, the maximum tenure you can get will be shorter, which increases the EMI and may reduce your eligible loan amount.
What is the minimum salary required for a home loan?
The minimum salary requirement varies by bank and location. Typically, banks require a minimum net monthly income of ₹15,000 to ₹25,000 for a home loan, but higher loan amounts require proportionally higher incomes.