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Home Loan Eligibility Calculator 2026: Calculate Maximum Loan Amount

Determine your maximum home loan eligibility under Indian banking standards. Estimate borrowing capacity based on FOIR, salary, existing EMIs, and co-applicant buffers.

Quick Answer

How much home loan can I get on my salary?

Your maximum home loan eligibility is calculated using your FOIR (Fixed Obligations to Income Ratio). For a standard ₹75,000 monthly salary with no existing EMIs, your maximum eligible home loan is approximately ₹43.6 Lakhs (modeled at 8.5% interest for 20 years).

Home Loan Eligibility Calculator Interface estimating maximum loan amounts based on salary FOIR

FOIR Ceiling Limits

Banks restrict monthly obligations to 40%-60% of income. Reducing personal loans expands home loan eligibility.

Interest Rate Leverage

Lower interest rates drop monthly EMIs, directly boosting the maximum principal amount you can borrow.

Tenure Extension

Extending the loan tenure to 20 or 30 years spreads out principal repayments, jumping your borrowing limit.

What is FOIR?

FOIR (Fixed Obligations to Income Ratio) restricts your debt burden. Banks limit your total monthly loan payments (including current EMIs + the new home loan) to roughly 50% of your net monthly salary. Use the calculator below to dynamically view your FOIR allocations.

Borrowing Capacity Modeler

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Fast & Precise FOIR Calculation

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How to Calculate Home Loan Eligibility Based on Salary

The most critical component of securing a home loan is proving your repayment capability. Banks look at your gross monthly salary and carve out living expenses. The leftover disposable income forms your true borrowing power.

1. Bank FOIR (Fixed Obligations to Income Ratio) Ranges

Banks mandate that you can only designate a strict percentage of your salary toward loans. Here is how standard FOIR scales with income:

  • Salary < ₹30,000: Debt limit capped at 40% of income.
  • Salary ₹30,000 – ₹50,000: Debt limit at 50% of income.
  • Salary ₹50,000 – ₹1,00,000: Debt limit rises to 55%.
  • Salary > ₹1,00,000: Max debt limit reaches 60%.

2. Property Value Restrictions (LTV Ratio)

Regardless of how high your salary is, lenders will never finance 100% of the property value. The Loan to Value (LTV) limits are enforced strictly:

  • Under ₹30 Lakhs: Max 90% LTV (10% down payment required).
  • ₹30 Lakhs to ₹75 Lakhs: Max 80% LTV (20% down payment required).
  • Above ₹75 Lakhs: Max 75% LTV (25% down payment required).

3. How to Increase Your Borrowing Capacity

You can easily expand your home loan limit by adding a co-applicant (spouse or parent) to pool salaries together. Additionally, aggressively paying off small personal loans drops your existing obligations, opening up more FOIR bandwidth purely for your new mortgage.

Frequently Asked Questions

What is FOIR and how does it determine my home loan eligibility?
FOIR stands for Fixed Obligations to Income Ratio. It is the percentage of your monthly income that banks allow you to spend on loan repayments (such as existing credit card or car loan EMIs, plus your new home loan). Typically, banks cap FOIR between 40% and 60% depending on your monthly salary.
Can a joint home loan increase my borrowing capacity?
Yes. Applying for a joint home loan with a co-applicant (such as your spouse, parent, or working sibling) combines your incomes, raising the total monthly income base. This increases your permissible monthly EMI limit and boosts your max eligibility.
How does my CIBIL score affect my eligibility?
A CIBIL score of 750 or above is ideal. A high credit score signals to lenders that you are a low-risk borrower, helping you secure lower interest rates. Lower interest rates reduce your monthly EMI, which directly increases the maximum loan amount you can qualify for.
What is the LTV ratio and how does it impact down payments?
LTV (Loan to Value) ratio is the percentage of the property value that banks are willing to finance. For properties valued under ₹30 Lakhs, banks may fund up to 90% (requiring a 10% down payment). For properties above ₹75 Lakhs, the LTV is capped at 75%.
Does choosing a longer loan tenure increase eligibility?
Yes. A longer tenure (such as 25 or 30 years) spreads the principal repayment over more months, which reduces the monthly EMI. A lower EMI helps you qualify for a larger principal loan amount under your income constraints.
Can I get a home loan if I have an outstanding car or personal loan?
Yes, but your eligibility will be reduced. Banks subtract your existing monthly EMIs from your permissible FOIR debt limit. The remaining balance is the maximum EMI you can pay for your new home loan, which lowers the maximum principal amount you borrow.
Rohit Kushwaha

Rohit Kushwaha

Software Engineer & Creator of mysalarycalculator.in

Verified Creator

I’m Rohit Kushwaha, a Software Engineer with 3+ years of experience in developing web applications and digital solutions. By combining technology with practical financial tools, I built mysalarycalculator.in to help Indian professionals easily understand their salary, taxes, EPF, gratuity, and take-home income.

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