Estimated reading time: 4 minutes
When planning to purchase a home, one of the primary considerations is understanding how much you can borrow. This guide will help you determine the amount of home loan you can get based on your salary of Rs1.5L.
Understanding Home Loan Eligibility
Key Factors Affecting Loan Eligibility
Several factors influence your home loan eligibility, including:
- Income: Your salary is the primary determinant.
- Credit Score: A higher score can result in better loan terms.
- Age: Younger applicants may have longer tenure options.
- Employment Type: Salaried versus self-employed status impacts eligibility.
- Existing Liabilities: Current EMIs or loans can reduce the loan amount you are eligible for.
- Loan Tenure: A longer tenure can increase loan eligibility but also increases the total interest paid.
- City: The cost of living and property rates in your city can affect the loan amount.
Basic Eligibility Criteria
- Minimum age: 21 years
- Maximum age at loan maturity: 60 years for salaried individuals, 65 years for self-employed individuals
- Minimum work experience: 2 years for salaried, 3 years for self-employed
Loan Amount Based on Rs1.5L Salary
The loan amount you can obtain largely depends on your salary. Here’s an approximate idea of loan eligibility based on different salary brackets:
| Salary (Per Month) | Approximate Loan Amount (INR) |
| ₹30,000 | ₹18,00,000 |
| ₹40,000 | ₹24,00,000 |
| ₹50,000 | ₹30,00,000 |
| ₹60,000 | ₹36,00,000 |
| ₹70,000 | ₹42,00,000 |
| ₹80,000 | ₹48,00,000 |
Calculating Your Home Loan Eligibility
Income Multiplier Method
Lenders often use the income multiplier method to determine the loan amount, which generally ranges from 4 to 5 times your annual salary.
Detailed Calculation for Rs1.5L Salary:
- Monthly Salary: Rs1.5L
- Annual Salary: Rs1.5L * 12 = Rs 1800000
- Loan Amount: Rs1800000 * 4 = Rs7200000 to Rs1800000 * 5 = Rs9000000
So, if you earn Rs1.5L per month, you can get a home loan ranging from Rs7200000 to Rs9000000
Home Loan Eligibility Calculator
To get a more precise estimate of the home loan you can afford, use our Home Loan Eligibility Calculator. This tool takes into account various factors such as your salary, existing liabilities, credit score, and preferred loan tenure to give you an accurate loan amount estimate.
Factors That Can Enhance Your Loan Eligibility
- Improving Credit Score: Aim for a score above 750.
- Reducing Existing Debts: Pay off any outstanding loans and credit card balances.
- Opting for a Longer Tenure: Although it increases the total interest, it reduces EMI, enhancing eligibility.
- Including Co-applicants: Adding a co-applicant, especially one with a stable income, can significantly increase eligibility.
- Considering the City: High-cost living areas may require a higher salary to maintain eligibility for larger loan amounts.
Common Mistakes to Avoid
- Overestimating Loan Amount: Borrow within your repayment capacity to avoid financial strain.
- Ignoring Other Expenses: Consider property maintenance, taxes, and other costs.
- Neglecting Credit Score: Regularly check and maintain a good credit score.
Conclusion
Understanding your home loan eligibility is crucial when planning to purchase a home with a salary of Rs1.5L. Factors like income, credit score, age, employment type, and existing liabilities affect your eligibility. Use tools like a home loan eligibility calculator for precise estimates. Improve your chances by boosting your credit score, reducing debts, and including co-applicants. Avoid overestimating the loan amount and neglecting your credit score for a smoother loan application process. Contact our home loan experts for any queries.
Frequently Asked Questions
Your salary determines your repayment capacity, influencing the maximum loan amount you can borrow. Generally, lenders offer 4 to 5 times your annual salary as the loan amount.
If your salary is Rs1.5L per month, you can expect to get a loan amount of approximately Rs7200000 to Rs9000000 depending on other factors like credit score, existing liabilities, and loan tenure
Credit Dharma offers competitive interest rates, a hassle-free application process, and personalized customer support. We provide flexible repayment options and assist you in maximizing your loan eligibility with minimal documentation requirements. Importantly, we charge zero fees to our customers, making it a cost-effective choice.
HDFC Home Loan
SBI Home Loan
