Loan eligibility

How much a lender will give you

Worked example

Using the default values, loan eligibility gives a you could borrow of ₹44,45,798.

Loan eligibility — worked example
ItemValue
Monthly take-home₹80,000
Existing EMIs₹0
Allowed for EMIs50.0% of income
EMI you can support₹40,000
Rate9.0% a year
Tenure240 months
Eligible loan₹44,45,798
Total repaid₹96,00,000
At 80% loan-to-value₹55,57,248
Down payment needed₹11,11,450
Plus stamp duty and registrationBudget another 6–8%

What you need

  • Monthly take-home
  • EMIs you already pay
  • Share of income allowed for EMIs
  • Interest rate
  • Tenure
  • Loan as % of property value

Questions

What is FOIR?

Fixed obligation to income ratio — the share of your monthly income a lender will let go to EMIs, including any you already pay. Most lenders allow 50%, rising to about 65% for high earners.

Why is my eligibility lower than this?

This is the arithmetic ceiling. Lenders also weigh your credit score, how long you have been employed, whether income is salaried or business, and your age at the end of the tenure — a 50-year-old rarely gets a 30-year loan.

Important

Lenders cap total EMIs at a share of income — the fixed obligation to income ratio, usually 50% and up to 65% at higher incomes. This is what a lender might sanction, not what is comfortable to repay: at 50% of take-home going to EMIs, very little is left for saving. Actual eligibility also depends on your credit score, employment type and age at the end of the tenure. Loan-to-value is capped by the regulator at 90% for small loans and 75% above ₹75 lakh.

Related

Rates and logic last verified . Statutory notifications remain the legal source of truth.