Almost 90% of Home are purchased through Home Loans. Home Loans provide a good amount of Income Tax deductions under section 80C & Section 24.
How Home Loan Eligibility Amount is Calculated?
Home Loan Eligibility Amount =
[[Monthly fixed Income x 50 %] - Other EMI’s]x1000
For Example If your monthly income is say Rs.70000/- & you already have other EMI’s of say about Rs.20000/-.
Than your Home Loan Eligibility Amount = [[70000 x 50%] – 20000]x 1000 = Rs. 15,00,000/-
How this Home loan eligibility can be increased?
- Through Joint Application of Home Loan with your Spouse.
- By paying off for other EMI’s.
- By decreasing the amount of other EMI’s.
- By adding some other income.
- By increasing Loan Tenure.