Find out the maximum loan you can get on your salary
Walking into a bank without knowing your loan eligibility is like shopping without knowing your budget. You might get surprised in both directions. Either way, it's better to know the number before you start the application process โ particularly for home loans where the gap between what you want and what you're eligible for can affect your entire property search.
Income is the primary driver โ but it's not just gross salary. Banks look at net take-home after TDS and PF deductions, and factor in the debt obligations you already have. The key metric is FOIR โ Fixed Obligation to Income Ratio. Most banks cap this at 40โ50%, meaning total monthly repayments (including the new loan's EMI) should not exceed 40โ50% of your net monthly income.
Adding a co-applicant is the most effective lever โ combining incomes increases the eligible EMI amount significantly. Closing existing loans before applying improves FOIR directly. Even a โน5,000 monthly EMI reduces your eligible loan amount by several lakhs. Longer tenure also increases eligibility โ a 30-year tenure gives more eligible amount than 20 years for the same EMI budget.
CIBIL score above 750 gets you the best rates and smooth approvals. Below 650, many banks decline or charge significantly higher rates. Once you know your eligibility, our EMI calculator gives you the exact monthly outflow and full amortisation table for any loan amount and tenure.
At 9% for 20 years, a โน50 lakh loan has an EMI of roughly โน45,000. At 45% FOIR with no other EMIs, you'd need a net take-home of around โน1,00,000/month. Adding a co-applicant reduces the individual income requirement.
Most banks only count fixed salary components for FOIR calculations. Variable components like bonus, incentives, and overtime are typically excluded or considered at 50%. Some banks do factor in verified variable income if it's consistent over 2+ years.
Yes โ each hard inquiry slightly reduces your score (5โ10 points). Use eligibility calculators first, then apply to 1โ2 shortlisted lenders rather than mass applying.
At โน20,000 available EMI at 9%: 15-year tenure โ โน19.8 lakh eligible. 20-year โ โน22.2 lakh. 30-year โ โน24.9 lakh. Stretching from 20 to 30 years adds about โน2.7 lakh in eligibility on a โน20K EMI budget.