Home Loan Eligibility Calculator

Calculate the Home Loan amount you are eligibile for

All fields are mandatory *

Please enter amount between 1,00,000/- to 1,20,00,000/-
Please enter monthly income between 25,000 to 5,00,000
Please enter monthly variable maximum upto 5,00,000.
Please enter monthly expenses maximum upto 5,00,000.
Years Please enter loan tenure between 1 to 30 years


You are eligible for a Home Loan
Eligible Loan Amount 0
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EMI 4,00,000
Recalculate Your Home Loan Eligibility
Home Loan Eligibility Calculator
As home loans are big-ticket loans running into lakhs of rupees that are repaid over a tenure of 15-20 years or more, their eligibility requirements are more stringent as compared to most other types of loans. To make it easier for the applicants to find out whether or not they are qualified for the loan, many lenders now have a home loan eligibility calculator on their online portals.

How is Home Loan Eligibility Calculated?

Home loan eligibility is based on several factors related to the applicants. The primary objective of the lenders in carefully verifying these qualification guidelines is to make sure that only applicants with the highest repayment probability are approved for the loan.

The factors range from the income and repayment capacity of the applicants to their age, credit score, and even current liabilities. More importantly, the eligibility requirements can also slightly vary between lenders.

This makes it essential for the applicants to check the home loan eligibility of the lender they wish to consider for their loan before actually applying for the loan. The applicants who do not meet the requirements of the lender are mostly rejected.

How Home Loan Eligibility Calculator Works?

An online loan eligibility calculator eliminates the need for the applicants to verify each of the eligibility guidelines of the lender manually. It is a simple online tool that requires them to provide some basic details, like monthly income, additional income, loan tenure, city of property, current liabilities, occupation, etc. to provide instant confirmation of their loan qualification.

Beneath the user-friendly interface, the calculator uses a mathematical formula based on the pre-set eligibility requirements of the lender. It calculates the input from the applicants based on these parameters to provide instant results.

What Factors Determine Home Loan Eligibility?

As mentioned above, the home loan criteria can vary between lenders. However, every lender in India does verify these common factors-

Monthly Income

Lenders primarily confirm home loan eligibility based on salary. After all, you will only be able to pay the monthly EMIs if you can afford them conveniently. Most lenders require applicants to have a minimum monthly income of Rs. 25,000. This limit can vary between lenders. Also, this limit can be higher in case if you are a self-employed professional.


Applicants above 21 years are eligible for home loans in India. The upper age limit is usually 60. Self-employed professionals might enjoy a higher upper age limit. The upper age limit is usually not the age at which you can apply for the loan but the age at which you can finish the loan. Younger applicants are usually able to apply for home loans with a longer repayment tenure. For instance, if you apply for a home loan at the age of 45, you might only get a tenure of 15 years until you turn 60.

Credit Score

The credit score is an excellent way for the lender to ensure whether or not an applicant is a responsible borrower. A credit score is a 3-digit number calculated by credit bureaus like CIBIL based on credit history. In India, most lenders prefer applicants with a CIBIL score of 650 and above. Higher credit score also makes it possible for the applicants to get a home loan at a slightly better rate.

Current Liabilities

If an applicant is already repaying an existing loan, this can also impact their loan eligibility. Lenders consider something known as the 'debt-to-income' ratio of the applicants. In most cases, the debt-to-income ratio of the applicants should be lower than 50%. This means that the current liabilities of an applicant should only consume up to 50% of their monthly income to be eligible for the home loan.

Property Details

Even the location and age of your property would be taken into consideration. If it is an under-construction property, the developer would also be verified. The lenders often blacklist developers with a reputation for not completing their projects on time. They do not offer loans to applicants wanting to purchase a home in any project by such developers.

How to Enhance Home Loan Eligibility?

Looking for ways to improve your home loan eligibility? These tips can help-

1. Improve Debt-to-Income Ratio

You can try to close your existing loans or consolidate them, as this can help improve your debt-to-income ratio. This is a ratio of total EMI outgo in a month to income in the month. The chances of approval are higher when applicants do not have an existing loan or have a debt-to-income ratio of less than 40% for home loans.

2. Consider a Co-Applicant

Borrowers also have the option of adding a co-applicant to their loan request. For instance, if an applicant has a working spouse, (S)he can be added as a co-applicant to improve loan eligibility. A housing loan eligibility calculator can be used to know the loan eligibility of both the applicants.

3. Work on the Credit Score

A credit score below 650 is generally not adequate for home loan approval. However, it can be improved in many different ways. Paying EMIs of existing loans and clearing credit card bills on time are two of the best ways to improve credit score. Also, avoid applying for home loans with multiple lenders as this may impact your credit score negatively.

4. Go for a Higher Down-Payment

Even while taking a home loan, the borrower still needs to pay 10%-25% of the value of the property as the down-payment. If possible, borrowers can try to pay a higher down-payment amount for increasing their home loan eligibility.

5. Opt for a Longer Tenure

Sometimes the eligibility criteria are not met if the requested tenure of the loan is less. This may impact the debt-to-income ratio, which may lead to rejection of the borrower's application. Choosing a longer tenure might increase your eligibility.

Using a Home Loan Eligibility Calculator to Confirm Loan Eligibility

No matter if an applicant is browsing through lenders or has already made a decision, a home eligibility calculator can be an excellent first step towards achieving the dream of being a homeowner. It can help borrowers confirm their eligibility and even know the loan amount they are eligible for.

Based on the result, applicants can then go ahead and get in touch with the lender to formally initiate the loan application process or work their way around improving their eligibility.

Home Loan Eligibility Calculator FAQs (Frequently Asked Questions)

What is Home Loan Eligibility?

In order to avail a home loan, every borrower needs to meet the eligibility criteria. If a borrower fails to meet the eligibility requirements, then his/her loan might get rejected. Therefore, it is recommended that a borrower should first find out if he/she meets the eligibility criteria before applying for a home loan.

What is Home Loan Eligibility Based on Salary?

One of the most crucial factors that determine the loan amount is the borrower’s salary. This is because a borrower’s salary helps a bank find out his/her repayment capacity.

What is Home Loan Eligibility Based on Age?

Age is an important factor in determining the loan tenure. If a borrower is of lower age, then he/she can select a longer loan tenure.

What is Pre-EMI Interest?

If a borrower avails a part of his/her home loan, then he/she will be required to pay interest on that amount until the entire loan amount is disbursed. This payment of interest on the part loan payment is called Pre-EMI interest.

What is an Under Construction Property?

A property that is in the process of being constructed is known as an under construction property.

What Security Will I Have to Provide to Avail of a Home Loan?

Generally, the first mortgage of the property is provided as the security against loan but that differs according to your lender.

DisclaimerThe information contained herein is generic in nature and is meant for educational purposes only. Nothing here is to be construed as an investment or financial or taxation advice nor to be considered as an invitation or solicitation or advertisement for any financial product. Readers are advised to exercise discretion and should seek independent professional advice prior to making any investment decision in relation to any financial product. Aditya Birla Capital Group is not liable for any decision arising out of the use of this information.