Home Loan Eligibility & FOIR Explained

FOIR (Fixed Obligation to Income Ratio) is a lender-style lens: existing EMIs plus the new home-loan EMI should stay under a share of monthly income (often discussed in bands like ~40–50%, varying by policy).

Not lending or financial advice — illustrative only. Banks use credit score, LTV, property, and internal policy beyond FOIR.

FOIR sketch

FOIR ≈ (existing EMIs + proposed EMI) / net monthly income

If max FOIR is 50% and income is ₹100,000 with ₹10,000 existing EMIs, room for new EMI ≈ ₹40,000 before other constraints.

From EMI room to loan size

Given affordable EMI, rate, and tenure, invert the EMI formula to estimate principal — the same family as EMI amortization.

Input	Role
Income	Sets FOIR ceiling
Existing obligations	Reduce headroom
Rate & tenure	Map EMI ↔ principal
Down payment / LTV	Caps loan vs property value

What eligibility calculators omit

Employment stability, bureau score, co-applicant income treatment, and property technicals often dominate the real decision.

Privacy

Income and EMI figures stay local in the browser.

Use TryCalculatingNow Home Loan Eligibility

TryCalculatingNow Home Loan Eligibility explores FOIR-style headroom and loan-size sketches. Pair with TryCalculatingNow EMI Calculator or loan calculator for payment detail.

FAQ

Is FOIR the same at every bank?

No. Thresholds and what counts as “obligation” differ.

Does gross or net income apply?

Lenders specify; many retail discussions use net take-home — confirm with the bank.

Can a co-applicant raise eligibility?

Often yes when income is clubbed under policy rules.

Why was I offered less than the calculator?

Credit, LTV, or documentation constraints usually bind before the FOIR math.