FOIR Calculator Banks don't ask what you earn. They ask what's left.
FOIR — the fixed obligation to income ratio — is the share of your monthly income already going to EMIs. A bank lets your old EMIs and the new home loan EMI together fill only part of your take-home pay, usually around half. Put in your numbers and see your FOIR, the EMI room you have left, and the loan that fits in it.
Your income, per month
What you already pay, per month
The home loan
Largest home loan by FOIR
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The loan you want
What moves your number
How to calculate FOIR yourself
FOIR is one division. The bank adds up every fixed monthly obligation — your running EMIs plus the EMI of the loan you are applying for — and divides it by the income it is willing to count.
FOIR = (existing EMIs + new EMI) ÷ net monthly income × 100
- Income × FOIR limit = total EMI you may carry. ₹80,000 take-home at a 50% limit gives ₹40,000.
- Subtract the EMIs you already pay. A ₹12,000 car loan and a ₹6,000 personal loan leave ₹22,000.
- Turn that room into a loan. At 8.5% for 20 years, every ₹1 lakh costs about ₹868 a month, so ₹22,000 of room carries about ₹25 lakh. With no EMIs, the same salary carries about ₹46 lakh.
That ₹21 lakh gap between two people on the same salary is why FOIR, not salary, decides the sanction. The full worked example is in how banks calculate your home loan eligibility.
How the credit desk reads your FOIR
FOIR counts loan repayments only. Rent, SIPs, insurance premiums and school fees are real costs, but they are not in the grid — the FOIR limit is kept at around half partly because of them.
Converting a purchase into card EMI adds that EMI. A balance you carry month to month is often counted too, as a slice of the outstanding — this tool uses 5% a month, a common lender assumption.
Incentives, bonuses and overtime are averaged over 6 to 12 months and often only half is counted. One good quarter does not raise your eligibility; a steady record does.
Even when FOIR allows more, RBI's loan-to-value limits cap the loan at 90% of the property's value up to ₹30 lakh, 80% up to ₹75 lakh and 75% above that. The sanction is the lower of the two.
If income does not land in a bank account, a lender cannot count it. What the salary slips, ITRs and bank statement show is all the FOIR sees.
FOIR, asked often
What is FOIR in a home loan?
FOIR stands for fixed obligation to income ratio. It is your total monthly EMIs — the ones you already pay plus the new home loan EMI — as a percentage of your net monthly income. Lenders use it to decide how large a loan you can repay.
What FOIR do banks allow for a home loan?
For most salaried borrowers the limit is around 50–55% of net income. Lower incomes are often held nearer 40–45%, and high incomes may be allowed 60% or a little more. Each lender sets its own grid.
Does the rent I pay count in FOIR?
No. Rent, SIPs, insurance premiums and school fees are not counted as fixed obligations. Only loan repayments are — EMIs, card EMIs and often a part of any card balance you carry.
How can I reduce my FOIR before applying?
Close small loans first, since every rupee of EMI you clear becomes room for the new loan. Adding an earning co-applicant, choosing a longer tenure and clearing a revolving card balance also lower it.