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Tools/Home Loan Eligibility Calculator

Home Loan Eligibility Calculator (India)

How much home loan can you actually get? FOIR-based eligibility from net income, existing EMIs, rate, age and tenure — with a sensitivity table for rates from 6% to 10%.

Quick answer

Banks typically allow 40-50% of your net monthly income to go to EMIs (the FOIR rule). So Max EMI = 50% × income − existing EMIs. Working backwards via the inverse-EMI formula P = EMI × ((1+r)N − 1) / (r × (1+r)N) gives your maximum loan principal. Tenure is capped at retirement age 65, so age affects how much you can borrow.

Sensitivity — eligibility at different rates

Same income, EMI cap and tenure (25 years), with rate varying.

RateMax loanΔ vs your rate
6%₹77.60 L+₹15.51 L
7%₹70.74 L+₹8.65 L
8%₹64.78 L+₹2.69 L
9%₹59.58 L₹-2.51 L
10%₹55.02 L₹-7.07 L
Maximum loan eligibility
₹62.09 L
₹62,09,428
Max permissible EMI₹50,000
FOIR used50%
Tenure25 yrs
Recommended (safer)
₹49.68 L
EMI on recommended₹40,000
= 80% of maxsafety buffer for rate hikes
Method
Max EMI = 50% × income − existing EMIs. Loan = EMI × ((1+r)N − 1) / (r × (1+r)N).

Indicative only. Actual sanctioned amount depends on CIBIL, employer, property value.

About this tool

When you apply for a home loan in India, the bank doesn't hand out money based on the property value alone — they first decide how much EMI you can afford every month, and then back-calculate the principal. This affordability check is the FOIR rule (Fixed Obligations to Income Ratio): your existing EMIs plus the new home loan EMI together cannot exceed a certain share — typically 40-55% — of your net monthly income. Banks tighten this for first-time borrowers and loosen it for high-income applicants with strong CIBIL scores.

WRRK's loan eligibility calculator uses a 50% FOIR cap, subtracts your existing EMIs, and runs the inverse of the standard EMI formula to back out the maximum loan principal. Tenure is automatically capped at 65 − agebecause most Indian banks require the loan to be fully repaid before retirement. The result is the upper bound the bank is unlikely to exceed — the “Recommended” figure (80% of max) gives you headroom for floating-rate hikes and bank underwriting variance. The sensitivity table shows how a 1-2% rate movement (very common during a loan's life) reshapes your eligibility.

This is an indicative number, not a sanction. Banks additionally evaluate property value (LTV cap 75-90%), CIBIL score, employer, time at current job, and whether you have a co-applicant. Use this to set your search budget — the actual sanction letter will arrive after formal application, document submission, and property valuation.

How to use (5 steps)

  1. Enter net income. Your in-hand salary after income tax and PF — what actually lands in your bank account each month.
  2. Enter existing EMIs. Total of all current EMIs — car, personal, credit-card pay-over-time. These reduce how much new EMI you can take on.
  3. Set rate & tenure. Current home loan rate from your target bank (typically 8.5-9.5%) and how many years you want to stretch the loan over.
  4. Enter age. Used to cap tenure: most banks require the loan to end by age 65. So at age 50, max tenure is ~15 years.
  5. Read result. Right panel shows your maximum eligibility and a safer recommended figure (80% of max). The sensitivity table shows how rate changes shift the number.

Frequently asked questions

+−What is FOIR and why does the calculator use 50%?

FOIR (Fixed Obligations to Income Ratio) is the share of your monthly net income that goes to all EMIs. Indian banks typically cap FOIR at 40-55% — the lower end for newer borrowers, the higher end for high-income established profiles. This calculator uses 50% as a reasonable upper bound. If your CIBIL is excellent and income high, banks may stretch to 55-60%; for first-time borrowers expect 40-45%.

+−Why does age limit the tenure?

Most Indian banks require the loan to be repaid before retirement age (typically 60-65 for salaried, sometimes 70 for self-employed). So if you're 45 today, the maximum tenure is roughly 65 − 45 = 20 years, even if the bank's product card says '30 years tenure available'. Shorter tenure = higher EMI = lower eligible principal — which is why a 30-year-old can usually borrow more than a 50-year-old on the same income.

+−Can I take a longer tenure to qualify for a bigger loan?

Yes — longer tenure means smaller EMI, so the same FOIR cap allows a bigger principal. But the total interest paid balloons. A ₹50L loan at 8.5% costs ~₹26L in interest over 15 years; the same loan over 30 years costs ~₹88L in interest. Stretch tenure to qualify, but try to prepay aggressively in the first 5-7 years to bring effective tenure down.

+−What if I have a co-applicant?

Adding a working co-applicant (spouse/parent/sibling) lets the bank pool both incomes for FOIR — eligibility can roughly double. Co-applicant must also have a clean CIBIL and stable income. Both names go on the loan and (usually) on the property. Use the calculator twice — once with combined net income — to estimate joint eligibility.

+−What about CIBIL score?

This calculator assumes a healthy CIBIL (750+). With CIBIL below 700, banks often reduce eligibility, charge a higher rate, or deny the loan outright. Score 750-799 typically gets card rates; 800+ may get a small discount. Pull your CIBIL once before applying — it's free annually on cibil.com.

+−Will banks actually sanction the maximum?

The maximum here is an upper bound based on income alone. Banks also evaluate the property value (LTV, typically capped at 75-90%), employer category, vintage at current employer, geographic risk, and your age relative to tenure. The 'Recommended (80% of max)' figure leaves headroom for rate hikes during the loan and for the bank to come in slightly below maximum.

+−How is this different from an EMI calculator?

An EMI calculator answers 'given a loan, what's the EMI?'. This calculator answers the inverse: 'given my income, what's the largest loan I can qualify for?'. It works backwards from a maximum permissible EMI (FOIR-based) to the principal that produces that EMI.

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