Home Loan Eligibility Calculator
Estimate your borrowing capacity, purchasing budget, and down payment based on lender debt-to-income benchmarks and RBI loan-to-value limits.
Income & Obligations
Car loans, personal loans, credit card EMIs, or education loans.
Based on an indicative 55% bank FOIR for 20 years @ 8.75%
Underwriting Criteria Breakdown
- FOIR benchmark modeled at 50% to 60% based on monthly net income bracket (internal lender policy; individual lenders may apply 40%–65%)
- Statutory RBI LTV thresholds (90% for loans up to ₹30L, 80% for ₹30L to ₹75L, and 75% for loans above ₹75L) represent indicative regulatory ceilings subject to applicable RBI and lender conditions, not guaranteed financing
- Stamp duty, registration, and furnishings are excluded from property valuation per RBI guidelines
- Calculated numbers are indicative estimates and subject to credit underwriting and property title verification
Frequently Asked Questions
How is home loan eligibility calculated?
Banks use FOIR (Fixed Obligation to Income Ratio), typically 50-60% of net monthly income. Formula: Max EMI = (Net Income × 0.5) - Existing EMIs. From this EMI, loan amount is derived using interest rate and tenure. Eligibility also depends on age, CIBIL score (750+), and employment stability.
What is the maximum home loan I can get?
Statutory RBI Loan-to-Value (LTV) guidelines mandate indicative regulatory ceilings: up to 90% for loans up to ₹30 Lakhs, up to 80% for loans between ₹30L and ₹75L, and up to 75% for loans above ₹75L. These thresholds represent indicative regulatory ceilings subject to applicable RBI and lender conditions, not guaranteed financing. The final loan amount is determined by the lower of your income-based FOIR eligibility and the property valuation-based LTV cap.
What documents are required for home loan application?
Identity proof (Aadhaar, PAN, passport), Address proof, Last 3 months salary slips, 6 months bank statements, Form 16/IT returns (2 years), Property documents (sale agreement, NOC, approved plan), Employer ID card. Self-employed need business proof, IT returns, audited financials.
What are current home loan interest rates in 2026?
As of January 2026, rates range from 8.5% to 9.5% p.a. depending on lender, loan amount, tenure, and your credit profile. CIBIL score 750+: Best rates (8.5-8.8%). Below 750: Higher rates or rejection. Women borrowers and existing customers may get 0.05-0.10% concession.
Can I get a home loan for property in another city?
Yes, you can get a home loan for property anywhere in India regardless of your current location. Bank may require property inspection, legal verification, and approved builder/project. Interest rates and processing may be similar, but property valuation and legal due diligence become more critical.
What are the tax benefits on home loans?
Interest deduction: Up to ₹2 lakhs under Section 24(b) for self-occupied property. Principal repayment: Up to ₹1.5 lakhs under Section 80C. First-time buyers: Additional ₹50K under Sec 80EE (conditions apply). Only available in old tax regime, not in new regime.
How to Use This Calculator
- 1
Enter your net monthly income (take-home salary after deductions). This is the primary factor for loan eligibility.
- 2
Add existing EMIs (personal loan, car loan, credit card EMIs). This reduces your available income for home loan EMI.
- 3
Select desired loan tenure (typically 15-20 years) and current interest rate (8.5-9.5% in 2026).
- 4
Click 'Check Eligibility' to see maximum loan amount, property value you can afford, down payment needed, and monthly EMI.
Key Terms & Definitions
- FOIR (Fixed Obligation to Income Ratio)
- Percentage of income that can go towards loan EMIs. Banks typically allow 50-60%. Higher ratio means higher eligibility.
- LTV (Loan to Value Ratio)
- The percentage of property value a lender can finance. RBI establishes indicative regulatory ceilings of up to 90% (≤₹30L), 80% (₹30L-₹75L), and 75% (>₹75L), subject to applicable RBI and lender conditions, not guaranteed financing. The balance is borrower down payment.
- CIBIL Score
- Credit score (300-900) indicating creditworthiness. 750+ required for best rates. Below 650 may lead to rejection or higher rates.
- Processing Fee
- One-time fee charged by bank for loan processing, typically 0.25-1% of loan amount. Some banks waive during festive offers.
- EMI (Equated Monthly Installment)
- Fixed monthly payment towards loan comprising both principal and interest. Initially interest is higher, later principal increases.
Formulas & Calculations
Maximum EMI Calculation
Banks use 50% FOIR. Example: ₹1L income, ₹10K existing EMI → Max new EMI = (₹1L × 0.5) - ₹10K = ₹40K.
Loan Amount from EMI
Example: ₹40K EMI, 9% rate, 20 years → Loan ≈ ₹44.5L. At 90% LTV, you can buy property worth ≈₹49.4L (₹4.9L down payment).
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