EMI ↔ Loan Amount Converter
Know your budget EMI? Find the max loan you qualify for. Have a loan amount? Instantly see your monthly EMI at any interest rate and tenure.
How Banks Calculate Maximum Loan Eligibility
Banks typically allow maximum EMI of 40–50% of your net monthly income (the FOIR — Fixed Obligation to Income Ratio). This converter works the math in reverse: given a budget EMI, rate, and tenure, it tells you the maximum loan. The formula is simply the Present Value of an annuity.
EMI = P × r × (1+r)^n / [(1+r)^n − 1]
Where: P = principal, r = monthly rate (annual/12), n = months
Max loan = 30,000 × [(1.00708)^240 − 1] / [0.00708 × (1.00708)^240] = ₹31.6 Lakhs
💡 What This Means for You
A 1% increase in interest rate reduces your loan eligibility by roughly 8–10% for a 20-year tenure. If rates rise from 8% to 9%, a ₹35L eligible amount drops to ~₹32L. This is why rising interest rate cycles make home buying harder — your EMI budget buys less loan.
Check your full loan eligibility
Factor in your income, obligations, and credit score with our Loan Eligibility Calculator.