Home Loan EMI Calculator
Most buyers overestimate their EMI capacity by 20%. Calculate your real budget before you start hunting.
EMI Calculator
Your Amortization Details (Yearly/Monthly)
Factors Affecting Your Home Loan Eligibility
Banks don’t just look at your salary. They calculate your "repayment capacity". Typically, banks assume that about 50% of your monthly disposable income is available for repayment. However, existing EMIs (car loans, personal loans) will reduce this eligibility.
💡 Quick Tip
A higher CIBIL score (>750) can get you a lower interest rate, saving you lakhs over a 20-year tenure.
Why Budget Planning Matters
Many first-time homebuyers in Chennai make the mistake of looking at the property price first and their budget second. This often leads to:
- ⚠️ House Poor Syndrome: High EMIs leaving no room for lifestyle or emergencies.
- ⚠️ Hidden Cost Shock: Registration (11%), interiors, and maintenance adds up to ~20% extra.
- ⚠️ Compromised Location: Forcing a move to far-off suburbs to match the budget.
Smart Buyer Tips
When to Increase Budget
If the location significantly reduces your commute time or has high future appreciation potential (e.g., upcoming Metro).
When to Wait
If you expect a major career jump soon or haven't saved at least 20% for the down payment and initial expenses.
Frequently Asked Questions
Typically, banks allow an EMI of 40-50% of your net take-home salary. On a 50k salary, a safe EMI is around ₹20k-25k, which could fetch you a loan of roughly ₹25-30 Lakhs depending on tenure and interest rates.
The 50% rule (EMI should be 50% of income) is a maximum limit, not a safety net. For a comfortable life, aim for the 30-40% range to account for emergencies and lifestyle inflation.
Apart from the property cost, factor in Registration & Stamp Duty (approx 11% in TN), GST (for under-construction), interior costs, and maintenance deposits.