Loan Eligibility Calculator
Maximum home loan from net monthly income and FOIR.
Eligibility
Banks use income, existing EMIs, credit profile, age, tenure, and FOIR to estimate how much loan you can comfortably repay. This calculator gives a planning range before you speak to a lender.
What is this calculator?
A loan eligibility calculator converts affordable monthly EMI into an approximate loan amount. It starts with net monthly income, applies a fixed obligation to income ratio (FOIR), subtracts existing EMIs, and then uses the EMI formula to estimate maximum principal.
Formula
Affordable EMI = (Net monthly income x FOIR%) - existing monthly EMIs. Maximum loan = affordable EMI converted through the reducing-balance EMI formula using interest rate and tenure.
Example
Another example
Assumptions and disclaimers
Updated context: 2026
- •FOIR is user-entered; lenders apply their own policy based on income type and risk.
- •Credit score, employer profile, property valuation, age, co-applicant income, and loan-to-value rules can change approval.
- •This calculator estimates reducing-balance loan principal from EMI and does not guarantee sanction.
- •Floating-rate changes can alter future EMI or tenure.
In practice (India)
Eligibility is not the same as affordability. A bank may approve a higher EMI than what feels comfortable after rent, school fees, insurance, and emergency savings. Use conservative FOIR if your monthly expenses are high.
After estimating eligibility, use the EMI calculator to test the monthly payment and the stamp-duty calculator to understand registration-day cash requirement.
Benefits
- ✓Set a realistic house-hunting or loan budget.
- ✓See how existing EMIs reduce borrowing capacity.
- ✓Compare tenure and interest-rate scenarios before applying.
- ✓Avoid over-borrowing based only on headline approval numbers.
Related calculators and guides
Frequently Asked Questions
- What FOIR do banks usually use?
- Many lenders use around 40% to 60%, but it depends on salary level, existing obligations, employer profile, credit score, and loan type.
- Can a co-applicant increase eligibility?
- Yes, eligible co-applicant income can improve repayment capacity, but their debts and credit profile are also considered.
- Does credit score affect loan eligibility?
- Yes. A weak score can reduce approval chances or increase interest rate even if income looks sufficient.
- Should I choose longer tenure for higher eligibility?
- Longer tenure can increase eligibility by lowering EMI, but it also increases total interest. Compare both EMI and total interest.
- Is pre-approved loan amount final?
- No. Final sanction depends on documents, property verification, income checks, credit policy, and legal valuation.
Loan eligibility is lender-specific. Use this as a planning estimate before getting a formal sanction letter.
How we calculate
Estimates use the formula shown above. Rules and rates are checked against official India sources where applicable (Income Tax Act, RBI/NSC circulars, GST law). Last reviewed for 2026.
- FOIR is user-entered; lenders apply their own policy based on income type and risk.
- Credit score, employer profile, property valuation, age, co-applicant income, and loan-to-value rules can change approval.
- This calculator estimates reducing-balance loan principal from EMI and does not guarantee sanction.
- Floating-rate changes can alter future EMI or tenure.