What is FOIR and why does this tool use 50%?

FOIR — Fixed Obligation to Income Ratio — is the share of monthly income a lender allows for all EMIs put together. Indian banks and housing finance companies typically apply 40–55% depending on your income level, and this calculator fixes it at a middle-of-the-road 50%. A lender assessing you at 40% would sanction less than shown here; one at 55% would sanction more.

How can I increase my eligible loan amount?

Close or prepay existing EMIs, choose a longer tenure, add an earning co-applicant such as a spouse, or negotiate a lower rate. The effect is linear: in the worked example, clearing the ₹10,000 of existing EMIs lifts the maximum EMI from ₹40,000 to ₹50,000, which raises eligibility by exactly 25%.

Does my CIBIL score affect the amount?

Not inside this calculator, but very much in practice. Lenders reserve their best rates and their full FOIR allowance for scores of roughly 750 and above; weaker scores mean a higher rate, a trimmed sanction or outright rejection. Since a higher rate shrinks the loan the same EMI can support, credit quality feeds directly into eligibility.

Is the eligible loan the same as my property budget?

No. Under RBI loan-to-value caps, lenders finance roughly 75–90% of the property value depending on loan size (as of 2025), and you fund the rest as down payment. Stamp duty and registration charges — typically 5–8% of the property value depending on the state — usually cannot be financed either, so budget for them separately.

Should I enter gross or net income?

Banks generally apply FOIR to net (in-hand) monthly income for salaried applicants, so enter your take-home figure for a realistic answer. Self-employed borrowers are assessed on average profit from recent ITRs instead. Entering gross CTC will overstate what a lender would actually sanction.

How does tenure change eligibility?

A longer tenure spreads the same EMI over more months, so the supported loan grows: the ₹40,000 EMI that funds ₹44,45,798.16 over 20 years funds only ₹31,57,667.71 over 10 years. The trade-off is far more total interest, and lenders cap tenure by your retirement age — usually 60 to 65 for salaried borrowers.

Is my income data uploaded?

No — the calculation runs entirely in your browser and nothing is sent to a server.

Home Loan Eligibility Calculator

Estimate the home loan amount you’re eligible for based on income and obligations.

Runs in your browser — files never leave your device

Monthly income₹Existing EMIs₹Interest rate%Tenureyears

Eligible loan

₹44,45,798.16

Max EMI

₹40,000

Assumes 50% FOIR. Lenders’ criteria and credit score affect the actual amount.

How it works

This calculator estimates the home loan an Indian bank or housing finance company may sanction, using the same first filter lenders use: FOIR (Fixed Obligation to Income Ratio). It assumes a lender lets 50% of your monthly income go toward EMIs of all kinds. Your existing EMIs are subtracted from that allowance, and whatever remains is the maximum EMI available for the new home loan. That EMI is then converted into a loan amount at your rate and tenure.

The two formulas, exactly as the tool applies them:

Maximum EMI = 50% × monthly income − existing EMIs
Eligible loan = EMI × (1 − (1 + r)^−n) ÷ r — the standard reducing-balance EMI formula run in reverse, where r is the monthly rate (annual ÷ 12) and n the tenure in months

A worked example with the defaults: on a ₹1,00,000 monthly income, 50% is ₹50,000. Subtract ₹10,000 of existing EMIs and the maximum EMI is ₹40,000. At 9% over 20 years (240 months), that EMI supports an eligible loan of ₹44,45,798.16 — about ₹44.46 lakh. The math is self-consistent: the EMI on a ₹44,45,798.16 loan at 9% for 240 months works out to ₹40,000.

Treat the output as a starting point, not a sanction letter. Real lenders vary FOIR from 40% to 55% by income slab, weigh your CIBIL score, age, employer profile and banking history, and cap the loan at 75–90% of the property value under RBI loan-to-value rules (as of 2025) — so the property budget equals this loan plus your own down payment, with stamp duty and registration on top. A longer tenure raises eligibility but increases total interest considerably, so borrow the amount your budget needs rather than the maximum on screen.

Estimates only — actual eligibility, rates and FOIR limits differ across lenders and change over time. Confirm with your bank before committing to a property.

Frequently asked questions

What is FOIR and why does this tool use 50%?: FOIR — Fixed Obligation to Income Ratio — is the share of monthly income a lender allows for all EMIs put together. Indian banks and housing finance companies typically apply 40–55% depending on your income level, and this calculator fixes it at a middle-of-the-road 50%. A lender assessing you at 40% would sanction less than shown here; one at 55% would sanction more.
How can I increase my eligible loan amount?: Close or prepay existing EMIs, choose a longer tenure, add an earning co-applicant such as a spouse, or negotiate a lower rate. The effect is linear: in the worked example, clearing the ₹10,000 of existing EMIs lifts the maximum EMI from ₹40,000 to ₹50,000, which raises eligibility by exactly 25%.
Does my CIBIL score affect the amount?: Not inside this calculator, but very much in practice. Lenders reserve their best rates and their full FOIR allowance for scores of roughly 750 and above; weaker scores mean a higher rate, a trimmed sanction or outright rejection. Since a higher rate shrinks the loan the same EMI can support, credit quality feeds directly into eligibility.
Is the eligible loan the same as my property budget?: No. Under RBI loan-to-value caps, lenders finance roughly 75–90% of the property value depending on loan size (as of 2025), and you fund the rest as down payment. Stamp duty and registration charges — typically 5–8% of the property value depending on the state — usually cannot be financed either, so budget for them separately.
Should I enter gross or net income?: Banks generally apply FOIR to net (in-hand) monthly income for salaried applicants, so enter your take-home figure for a realistic answer. Self-employed borrowers are assessed on average profit from recent ITRs instead. Entering gross CTC will overstate what a lender would actually sanction.
How does tenure change eligibility?: A longer tenure spreads the same EMI over more months, so the supported loan grows: the ₹40,000 EMI that funds ₹44,45,798.16 over 20 years funds only ₹31,57,667.71 over 10 years. The trade-off is far more total interest, and lenders cap tenure by your retirement age — usually 60 to 65 for salaried borrowers.
Is my income data uploaded?: No — the calculation runs entirely in your browser and nothing is sent to a server.

Home Loan Eligibility Calculator

How it works

Frequently asked questions

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