Home Loan Eligibility for ₹1,50,000 Salary
At ₹1.5 lakh a month you can service almost any residential loan an Indian bank will write, so eligibility stops being the interesting question. What matters is loan-to-value pricing, the near-total absence of tax shield on a loan this size, and whether the loan should exist at all.
Assumes 8.5% p.a. for 20 years, a 50% FOIR limit, no existing EMIs and age 32. Change any of these and the number changes — the calculator below opens pre-filled with exactly these inputs.
Check your exact eligibilityWhat changes your number on a ₹1,50,000 salary
LTV bands, not income, decide your rate
Above ₹75 lakh, RBI norms cap loan-to-value at 75%, so you must fund at least a quarter of the property value yourself. Lenders also price in LTV tiers — the rate below 75% LTV is usually better than the rate at 80%, and the gap can exceed 15 basis points on the whole loan.
At this income the highest-return decision at sanction is usually deciding how much of your liquid savings to put into the down payment, since it changes both the amount borrowed and the price of what remains.
The tax shield is nearly irrelevant at this loan size
On an ₹85 lakh loan, first-year interest is around ₹7 lakh. The ₹2 lakh Section 24(b) cap shields under 30% of it, and only under the old regime. In the 30% slab that is about ₹62,000 of tax saved against ₹7 lakh of interest paid — a reduction in effective rate of roughly 0.75 percentage points, not the two-plus points smaller borrowers enjoy.
Anyone advising you to 'keep the loan running for the tax benefit' at this level is applying advice calibrated to a ₹25 lakh loan. Check whether the new regime's lower slabs beat the old regime for you before assuming the deduction is even available.
Aggressive prepayment is usually the correct default
With almost the entire interest unshielded, prepayment is effectively a guaranteed 8.5% post-tax return. For a borrower in the 30% slab, matching that in a taxable fixed-income instrument requires a pre-tax yield above 12%, which does not exist at comparable risk.
A structured approach works better than sporadic lump sums: set a fixed monthly surplus transfer, add annual bonus prepayments, and re-amortise to keep tenure falling rather than letting the bank reduce the EMI.
Consider whether the loan should be smaller than it can be
Banks will sanction against roughly ₹75,000 of EMI capacity here. Using all of it commits ₹1.8 crore of gross outflow over 20 years for a single asset class in a single city.
The alternative worth pricing: a smaller loan with a larger down payment, and the freed monthly capacity directed to a diversified portfolio. For most borrowers at this income the smaller loan produces a better risk-adjusted outcome even before considering the flexibility a lower fixed obligation buys.
Eligibility by tenure
| 15 years | ₹76.16 L |
| 20 years | ₹86.42 L |
| 25 years | ₹93.14 L |
| 30 years | ₹97.54 L |
Eligibility by interest rate
| 8.00% p.a. | ₹89.67 L |
| 8.50% p.a. | ₹86.42 L |
| 9.00% p.a. | ₹83.36 L |
| 9.50% p.a. | ₹80.46 L |
What an existing EMI costs you
| ₹3,000 existing EMI | ₹82.97 L | −4% |
| ₹5,000 existing EMI | ₹80.66 L | −7% |
| ₹10,000 existing EMI | ₹74.90 L | −13% |
Frequently asked questions
How much home loan can I get on a ₹1.5 lakh salary?
At a 50% FOIR, 8.5% and 20 years with no existing EMIs, a ₹1.5 lakh monthly salary supports an eligible loan of roughly ₹86–87 lakh. This page computes the exact figure live using the same eligibility function as the EMI360 calculator.
What down payment do I need above ₹75 lakh?
RBI caps loan-to-value at 75% for loans above ₹75 lakh, so at least 25% of the property value from your own funds — plus stamp duty, registration and GST, which are never financed.
Is the home loan tax benefit worth structuring around?
Not much at this loan size. The ₹2 lakh Section 24(b) cap shields a small fraction of your interest, and it requires the old tax regime. Compare regimes on your full return before letting the deduction influence loan decisions.
Should I prepay aggressively or invest instead?
Prepayment returns a guaranteed, tax-free 8.5% here because almost none of the interest is deductible. Beating that reliably requires equity risk. A common split is to prepay from bonuses while continuing systematic equity investment from monthly surplus.
Do I get a better interest rate at this income?
Income matters less than loan-to-value, credit score and employer category at this level. The largest rate concessions come from a sub-75% LTV, a score above 800, and a listed-company or government employer profile.
Eligibility for other salaries
Home loan eligibility by monthly salary — each page shows the eligible amount, EMI and FOIR headroom for that income.