Reviewed by Artha Research·Last updated 8 April 2026
Loan Affordability Calculator
Estimate the home loan EMI and property budget you can safely afford without stretching your monthly cash flow.
Inputs
Start simple. The result focuses on a safe budget, not maximum lender appetite.
Safer home budget
₹91.3L
You can afford this range
Your income, existing EMIs, and buffer support this budget without stretching.
Keep the property budget at or below the recommendation and stress-test it against a rate increase.
Recommended EMI
₹63,000
Conservative EMI
₹53,550
Use this if your income is variable or expenses may rise.
Max loan amount
₹71.3L
EMI to income
35.0%
Monthly buffer after EMI
₹32,000
Loan balance over time
Equity builds and outstanding principal falls as you make EMIs.
Next best actions
The result hints at what to look at next. Each link carries your current numbers so you never re-enter them.
At a glance
- What it does
- Computes the safe home loan budget based on your actual cash-flow buffer, not the lender's FOIR ceiling.
- Conservative rule
- Recommended EMI is the smaller of 35% of take-home OR 75% of your monthly surplus after existing EMIs and expenses.
- Typical output
- On ₹1.8L/month take-home with ₹70k expenses and ₹15k existing EMIs, the safe home budget is ~₹80-90L.
- Best used for
- Deciding your real home budget, not what the bank will lend. Pair with the eligibility calculator.
How It Works
This is the drill-down layer. The flagship flow leads with a recommendation, and this page lets you inspect the underlying model.
- Recommended EMI = min(target EMI ratio x monthly income, 75% of free cash flow).
- Max loan amount is derived from the EMI formula using your interest rate and tenure.
- Recommended home budget = max loan amount + down payment.
Assumptions
The recommendation stays blunt, but the assumptions remain visible.
- The engine targets a healthy EMI ratio rather than the maximum a bank may approve.
- Closing costs, furnishing, and maintenance are not included in the core affordability figure.
- Results assume a standard reducing-balance loan with fixed inputs.
FAQ
The follow-up questions people usually ask after the main recommendation is already clear.
What is a safe EMI-to-income ratio in India?
A practical rule is to keep total EMIs below 35% to 40% of monthly take-home income, especially if you also need room for emergencies and investing.
Why is my affordable loan lower than what lenders advertise?
This engine is intentionally conservative. The goal is sustainable decision-making, not maximizing sanctioned debt.
Sources & references
Every formula and assumption above is grounded in these authoritative sources.
Related tools & decisions
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