Home loans

How much home loan can I get on my salary?

Updated October 2026 · 5 min read

On a take-home salary of ₹50,000 a month, most banks will lend about ₹28.8 lakh for 20 years at 8.5%. At ₹1 lakh a month, the figure is about ₹57.6 lakh. Banks work backwards from the largest EMI they think you can afford.

The rule banks use

Most lenders allow your total EMIs to reach about 50% of your monthly take-home pay. Some allow up to 60% for high earners, and a few stop at 40%. The loan amount is whatever that EMI can repay over the tenure at the bank's interest rate.

Loan amount by salary (8.5%, EMI at 50% of take-home)

A longer tenure raises your eligibility only a little, but it adds a lot of interest. Going from 20 to 30 years on ₹50,000 take-home adds just ₹3.7 lakh of loan.

Existing EMIs cut your eligibility sharply

Banks subtract the EMIs you already pay. With ₹50,000 take-home and a ₹10,000 car loan EMI, only ₹15,000 is left for the home loan. Your 20-year eligibility falls from ₹28.8 lakh to about ₹17.3 lakh. Closing small loans before you apply can raise your eligibility by lakhs.

Eligible is not the same as comfortable

Borrowing the maximum leaves little room for emergencies, school fees or a job change. If your EMI stays at 40% of take-home instead of 50%, the 20-year loan on ₹50,000 is about ₹23 lakh, and on ₹1 lakh about ₹46.1 lakh.

Ways to raise your eligibility

• Add a co-applicant with income, such as your spouse. Banks add both incomes.
• Keep your credit score above 750 for better rates. A lower rate means a larger loan on the same EMI.
• Close credit card dues and small personal loans first.
• Save a bigger down payment. Banks lend at most 75% to 90% of the property value anyway.