How much house can I afford based on my salary in India?

In the West, the rule is to keep the housing loan EMI at 30-35% of the gross household income. In India, this ranges from 25% to 40%. The ratio of EMI to net income goes up with the income level. In the higher income bracket, the EMI can be up to 35-40% of the net monthly income.

How is the loan eligibility calculated?

Your loan eligibility is calculated based on the ratio of your fixed obligations to your monthly income. If your income is less than ₹ 30,000, the maximum obligations cannot exceed 50% of your monthly income. However, for a higher income, the obligations to income ratio can go upto 65%.

How much loan can I get on 90000 salary?

For instance, if your net salary is Rs. 55,000, you will be eligible for a loan of approximately Rs 33 lakhs….How to calculate your home loan eligibility?

Net Monthly Income (Rs.) Home Loan Amount (Rs.)
70,000 54,81,756
80,000 63,20,142
90,000 71,58,529

How to calculate your home loan eligibility?

Adjust your down payment size to see how much it affects your monthly payment. For instance,would it be better to have more in savings after purchasing the home?

  • Modify the interest rate to evaluate the impact of seemingly minor rate changes.
  • Fine-tune your inputs to assess your readiness.
  • What is the principal of a loan?

    • What are the best home loans in India?

    HDFC offers fixed,floating and TruFixed types of home loan.

  • HDFC offers Step Up Repayment Facility (SURF).
  • HDFC also provide facility of Flexible Loan Instalment Plan (FLIP).
  • You will also get Accelerated Repayment Scheme where you can increase the EMI as per your convenience to repay loan faster.

    • How to check home loan eligibility?

    Age: An important consideration for both the borrower and the lender is the age of the borrower.

  • Income: your income is one the major factors that determines your home loan eligibility.
  • CIBIL score: your CIBIL score is one of the key factors that a bank or lender checks before giving out a home loan.

    • How to increase my home loan eligibility?

    – Good Repayment History – Good Credit Score 750 and above – Regular Income – No loans for credit card dues – Working Spouse as Co-applicant