How much home loan can I get on my salary?
You can usually get a home loan that is 60 times your salary. However, lenders do not generally consider your in-hand salary when determining the loan amount. Your in-hand salary may include the list below.
- Basic salary
- Medical allowance
- Leave travel allowance
- House rent allowance
- Other allowances, etc.
Now, a lender will not consider allowances like medical and leave travel when assessing your income. These allowances are provided only for the designated use; hence, financial institutions exclude them.
Assume your in-hand salary is Rs. 60,000, and after excluding medical allowance, LTA, etc., it goes down to Rs. 49,000. It is upon this amount; will your home loan amount be calculated.
Considering you are a resident of Bangalore of 30-year-old with all financial obligations and current EMIs Nil, The Following table illustrating the home loan eligible based on salary:
Net monthly income |
Home loan amount |
Rs. 25,000 |
Rs. 20,85,328 |
Rs. 30,000 |
Rs. 25,02,394 |
Rs. 35,000 |
Rs. 29,19,460 |
Rs. 40,000 |
Rs. 33,36,525 |
Rs. 45,000 |
Rs. 37,53,591 |
Rs.50,000 |
Rs. 41,70,657 |
Rs. 60,000 |
Rs. 50,04,788 |
Rs. 70,000 |
Rs. 58,38,919 |
The above values are calculated using Bajaj Finserv Home Loan Eligibility Calculator.
Nevertheless, apart from your income, factors like your current EMIs and fixed obligations also affect your repayment capacity. Hence, it is best to use a home loan eligibility calculator to check the home loan amount you are eligible for as this tool considers factors like your income, loan tenor, other monthly income, and current financial obligations while forecasting the eligible loan amount.
