How Much Property Can You Afford?
Enter your income, savings and existing loans to find out the maximum property value you can comfortably afford in Bangalore.
Your Financial Details
You Can Afford
Income Allocation After Home Loan
Additional Costs to Budget (Karnataka)
RBI Loan-to-Value (LTV) Norms for Home Loans
The Reserve Bank of India sets maximum LTV ratios that determine how much down payment you need. The table below shows the current norms — banks may apply stricter limits based on your credit profile.
| Property Value | Max LTV | Minimum Down Payment |
|---|---|---|
| Up to ₹30 lakh | 90% | 10% |
| ₹30 lakh – ₹75 lakh | 80% | 20% |
| Above ₹75 lakh | 75% | 25% |
How Does This Calculator Work?
The calculator uses a reverse-EMI approach. It starts with your net monthly income, subtracts existing EMI obligations, and applies the FOIR (Fixed Obligation to Income Ratio) you select to find your maximum EMI capacity. From that EMI capacity, it reverse-calculates the maximum home loan principal using the standard EMI formula. Your savings are added as down payment, and the RBI's LTV norms are applied to determine the maximum property value.
For Karnataka buyers, the calculator also estimates stamp duty and registration charges (approximately 7–9% of property value) and GST on under-construction properties (5%) so you can see the full budget you need to arrange. These are estimates — use our Stamp Duty Calculator for exact figures.
What If You Want a Lower EMI?
If the suggested property value feels like a stretch, consider increasing your down payment, choosing a longer loan tenure (up to 30 years), or switching to the conservative 40% FOIR ratio. Even a small increase in savings can significantly improve the property budget because it directly adds to your purchasing power without adding to your EMI burden. Use our EMI Calculator to test different loan configurations.
Frequently Asked Questions
Banks typically approve a home loan amount where your total EMI obligations (including the new loan) do not exceed 40–50% of your net monthly income. For a salary of ₹1 lakh per month with no existing EMIs, you can expect a home loan of roughly ₹40–55 lakh at current interest rates, depending on the bank and your credit score.
The 40% rule means your total monthly EMI payments (home loan plus any car loan, personal loan, or credit card EMIs) should not exceed 40% of your gross monthly income. Banks use this ratio — called FOIR (Fixed Obligation to Income Ratio) — to determine how much loan to approve. Some banks allow up to 50% for higher-income borrowers.
Banks finance up to 75–90% of the property value depending on the loan amount. For properties up to ₹30 lakh, you may get up to 90% financing (10% down payment). For properties between ₹30–75 lakh, banks typically finance 80% (20% down payment). Above ₹75 lakh, the LTV ratio is usually 75% (25% down payment).
In Karnataka, budget for stamp duty (2–5% based on slabs), registration charges (2%), cess and surcharge (about 12–13% of stamp duty), GST (5% on under-construction properties), legal fees, and interior/furnishing costs. Total additional costs typically run 8–15% above the property price.
Yes. A CIBIL score above 750 qualifies you for the lowest interest rates (currently around 8.25–8.5%). Scores between 650–750 may result in 0.25–0.75% higher rates, which can reduce your affordable property price by 5–8%. Below 650, loan approval itself becomes difficult.