Free buyer calculator
Home Affordability Calculator
Your budget is limited by two things: the EMI your income can carry and the down payment your savings can cover. Enter your take-home income, existing EMIs and savings to see the highest property price you can afford and which of the two limits applies to you.
- Property price
- ₹74,00,000
- Home loan
- ₹59,18,000
- Down payment from savings
- ₹14,82,000
- Stamp duty, registration etc.
- ₹5,18,000
- Monthly EMI
- ₹47,675
- Most EMI your income allows
- ₹75,000
Your savings are the limit: banks fund at most 80% of the property value at this loan size, so the rest must come from you.
How banks decide how much you can borrow
Two rules set your budget, and the lower of the two wins.
1. Your income (FOIR)
Lenders cap the share of your monthly take-home income that can go towards all EMIs, including car and personal loans. This is the fixed obligation to income ratio (FOIR). Most lenders accept 40% to 60% depending on income level and credit score. The largest EMI you can carry, at the bank’s rate and tenure, sets the largest loan.
2. The property value (LTV)
RBI limits how much of a property’s value a bank can lend, called the loan-to-value ratio:
| Loan amount | Maximum loan as % of property value |
|---|---|
| Up to ₹30 lakh | 90% |
| Above ₹30 lakh, up to ₹75 lakh | 80% |
| Above ₹75 lakh | 75% |
So even with a high income, you need savings for at least 10%–25% of the price, plus stamp duty and registration, which banks generally do not fund. The calculator applies both rules and tells you which one is holding your budget back.
How to increase your budget
- Add a co-applicant. A spouse or parent with income raises the EMI you can carry. See joint home loans.
- Close small loans first. Every ₹10,000 of existing EMI cuts your home loan by roughly ₹12.41 L at 7.5% over 20 years.
- Choose a longer tenure. It lowers the EMI per lakh borrowed, though you pay more interest.
- Keep your credit score healthy. A better score can get you a lower rate and a higher FOIR.
Don’t borrow the maximum without checking
The highest loan a bank will give is not always what you should take. Keep an emergency fund of several months’ expenses outside the down payment, and remember that maintenance, property tax and furnishing come after possession. If the flat is under construction and you are paying rent, check the pre-EMI too.
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How much can I afford? — FAQs
With ₹1 lakh take-home pay, no other EMIs and a 50% FOIR, you can carry an EMI of about ₹50,000. At 7.5% over 20 years that supports a loan of about ₹62.07 L, subject to the bank’s own checks and your credit score.
FOIR (fixed obligation to income ratio) is the share of your monthly income that goes to EMIs and other fixed obligations. Banks usually cap it at 40% to 60%.
At least 10% of the property value for loans up to ₹30 lakh, 20% for loans from ₹30 lakh to ₹75 lakh, and 25% above that, as set by RBI. Stamp duty and registration are extra.
Yes. Lenders add a co-applicant’s income when working out the EMI you can afford, so a working spouse or parent can raise the loan amount.
Not necessarily. Leave room for an emergency fund, maintenance costs and future rate rises. Many buyers keep their EMI well below the bank’s limit for that reason.
Results are estimates for planning only and are not a loan offer or tax advice. Rates, charges and lender rules change; confirm them with your bank, the sub-registrar and the developer before you commit.