How is Home Loan Eligibility Calculated Based on Salary?

Posted by Shubham Housing Development Finance Company Ltd. on February 8th, 2022

Eligibility, or eligibility, for a home loan, depends on your ability to meet the requirements set by the lending institution. Knowing your home loan eligibility will help you find out if you can accept the loan amount under the terms set by the lending institution. If you do not meet the eligibility criteria, your loan application may be rejected and your credit report may be compromised. To avoid unnecessary questions and ensure the loan is approved, customers need to understand their home loan eligibility requirements before applying for a loan.

What are the eligibility criteria for a home loan?

KPR requirements are requirements that must be met by mortgage applicants:

Home loan eligibility requirements

  • Nationality - Indian Citizens, Non-Indian Citizens (NRI), and Indigenous Peoples (PIO)
  • Credit Score - 550 - 900
  • Age group - minimum - 18 years and maximum - 70 years
  • Total work experience - minimum 2 years
  • Business Continuity - Minimum 3 years
  • Minimum Income - Minimum 000 25,000 per month, varies from bank to bank
  • Loan to Value Ratio (LTV) – Up to 90% of property value


Eligibility requirements for a home loan may differ at different banks. However, some of the terms of a home loan are listed below:

  • Any employee or entrepreneur can apply for a home loan.
  • All Indian citizens have the right to take out a home loan. Non-Indian (NRI) and Non-Indian (PIO) Nationals are eligible for home loans under certain home loan programs.
  • Applicants with good credit or CIBIL scores are more likely to receive home loan approval than applicants with poor credit.
  • FOIR (Fixed Obligation to Income Ratio) is the ratio between your income and current liabilities, such as B. Credit card accounts and EMI for loans. This ratio should be less than 40-50% (after paying the EMI of this loan).
  • Your age also plays a role in the assessment of your loan application. Age criteria 18-70 years.
  • Regular income ensures that loans are repaid on time. Therefore, applicants with fixed income have a higher chance of being approved for a loan than applicants with seasonal sources of income.
  • To qualify for the monthly income home loan you have to be Rs 25,000. must be greater than or equal to.

The bank also takes into account the location and age of the property. You can reject your loan application if the remaining property age is less or the property does not fall within the specified geographic area. Your job status and stability will also help you get a home loan. The Bank gives loan preference to employees with a minimum working period of 2 years. And if you own a company, then it must be at least 3 years old.

If you are a working person, about 40% of your monthly income can be considered an EMI loan. The profit you make for the self-employed largely determines the value of the home loan you qualify for. Now that you know the terms of a home loan or personal loan, review the documents required for a home loan.

What is a Home Loan Calculator?

The Home Loan Eligibility Calculator is an online tool that gives you an idea of ??the loan amount you can get for a home equity loan. Before applying for a home loan, knowing the amount you are asking for will help increase your chances of getting an approved loan. The calculator will tell you whether you qualify for a loan based on your income and ability to repay. However, the bank will check your value and financial status before approving the loan application.

How to calculate mortgage eligibility?

Mortgage eligibility is calculated based on several factors including monthly income, loan term, ongoing debt, applicable mortgage interest rates, etc. The easiest way to calculate mortgage eligibility is to use the Mortgage Calculator. It\'s easy to use and gives you accurate results in less than a second.

How does the housing allowance calculator work?

The Home or Personal Loan Eligibility Calculator uses a mathematical formula that calculates the amount of an eligible loan based on several factors. This is your monthly income, loan term, current monthly obligations, etc. Once you have entered the required information, the calculator will give you the result in seconds.

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Shubham Housing Development Finance Company Ltd.

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Shubham Housing Development Finance Company Ltd.
Joined: August 25th, 2020
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