RBI caps how much of a property a bank can finance in three loan-size slabs — up to 90% up to ₹30 lakh, up to 80% from ₹30–75 lakh, up to 75% above ₹75 lakh, under the RBI Master Circular — Housing Finance (February 2022) — and this calculator's 50% income-obligation ratio is a lender convention layered on top, not an RBI rule. Stamp duty and registration sit outside the financed property cost except on homes up to ₹10 lakh.
Two ceilings stack to set your number, and only one is RBI's
This calculator runs two separate caps in sequence. First it reverse-engineers a maximum EMI from your monthly income at a fixed obligation-to-income ratio, then reverse-engineers a maximum loan from that EMI at your chosen rate and tenure. That first ratio — the fixed-obligation-to-income (FOIR) figure — is a lender underwriting convention. RBI's own Master Circular on Housing Finance sets loan-to-value ceilings and the risk weights banks must hold against them; it does not prescribe a fixed-obligation-to-income limit for individual borrowers anywhere in its Quantum of Loan or risk-weight sections. Change the ratio the calculator assumes and you change the output — that is a modelling choice, not a regulation.
The second cap is the one RBI does set. Once the calculator has your maximum EMI-affordable loan, it checks which slab that loan falls into and applies the matching loan-to-value ceiling to size the property you can target. The Master Circular's Quantum of Loan table reads: up to ₹30 lakh — LTV up to 90% (carrying a 35% risk weight at LTV of 80% or below, rising to 50% for LTV above 80% and up to 90%); above ₹30 lakh and up to ₹75 lakh — LTV up to 80%; above ₹75 lakh — LTV up to 75%.
| Loan size | Max LTV | Risk weight |
|---|---|---|
| Up to ₹30 lakh | 90% | 35% (≤80% LTV), 50% (>80–90% LTV) |
| Above ₹30 lakh, up to ₹75 lakh | 80% | Set by bank's capital rules |
| Above ₹75 lakh | 75% | Set by bank's capital rules |
RBI Master Circular — Housing Finance (RBI/2021-22/171), February 18, 2022. Applies to scheduled commercial banks excluding RRBs.
Stamp duty and registration sit outside the number this calculator gives you
The same Master Circular tells banks not to include stamp duty, registration and other documentation charges in the cost of the property they finance, so that the LTV ceiling above is not diluted. In practice: the property price is what the LTV percentage applies to, and stamp duty plus registration — set by the state where you're buying — is cash you find separately, on top of your own-funds share from the worked example above.
There is one carve-out. Where the cost of the house or dwelling unit does not exceed ₹10 lakh, banks may add stamp duty, registration and documentation charges to the cost of the property for the purpose of calculating LTV — meaning a small subset of low-value purchases can have some of those charges folded into the financed amount. Above ₹10 lakh, that door is closed and the charges are entirely separate cash. This site's stamp duty and registration calculator models those state-specific charges; run your state's numbers there before assuming your own-funds figure above is the whole cash requirement.
The rate you plug in moves with the repo rate, and the after-tax cost isn't in this number
Since October 2019, RBI has required that all new floating-rate retail loans, including housing loans, be linked to an external benchmark — in practice, the repo rate for most lenders — with each bank free to set its own spread on top. The RBI Monetary Policy Committee has held the repo rate unchanged at 5.25% across its directly-confirmed 2026 meetings through June; because your EMI capacity (and therefore the loan size this calculator returns) is a direct function of the rate you enter, re-check the current repo rate and your lender's spread before treating the output as fixed — a floating-rate cut or hike changes the EMI a given loan amount demands.
This calculator also does not net out the tax relief a home loan can generate. Under the old tax regime, interest on a self-occupied property's loan is deductible up to ₹2,00,000 under Section 24(b) and principal repayment counts toward the ₹1,50,000 combined Section 80C limit — both old-regime-only. If you file under the new regime, Section 115BAC explicitly disallows both for a self-occupied property. That means two borrowers with an identical eligibility result from this calculator carry a different real annual cost depending on which regime they file under — model that separately on the home loan tax benefit calculator before comparing offers.
Methodology
Loan-to-value ceilings and the stamp duty/registration exclusion (and its ₹10 lakh carve-out) are read verbatim from RBI's Master Circular — Housing Finance (February 2022). The repo rate context is RBI's Monetary Policy Committee resolution through its June 2026 meeting; the external-benchmark linkage is RBI's October 2019 press release. Tax-relief figures are the Income Tax Department's own AY 2026-27 guidance on Section 24(b) and Section 80C and its new-vs-old regime FAQ. The FOIR ratio and reverse-EMI math are this calculator's own stated modelling, not a regulatory figure.
Sources
- RBI — Master Circular, Housing Finance (Feb 2022) — accessed 2026-09-21
- RBI — MPC Resolution (repo rate, June 2026) — accessed 2026-09-21
- RBI — External benchmark linkage for floating retail loans — accessed 2026-09-21
- Income Tax Department — Section 24(b) / 80C, AY 2026-27 — accessed 2026-09-21
- Income Tax Department — New vs old tax regime FAQs — accessed 2026-09-21