Is it OK to spend half salary on mortgage?

Spending half your monthly income on your home could make it hard to obtain financing for any other debt such as that owed on cars or credit cards. Furnishing a new home costs money and if you don’t want to live in an empty property, reconsider spending half your income on a mortgage.

What percentage of salary should be home loan EMI?

EMIs make a major dent on your monthly budget, therefore, it is advisable that it should not exceed 40 per cent of your salary. The EMI limit should be restricted for the following reasons: Nearly 30 per cent of the salary is spent on food, house rent and other essentials. Nearly 25-30 per cent needs to be invested.

Can I get home loan with 50000 salary?

Hence, your salary will become Rs. 49,000 if you deduct these two from it. Now, the home loan amount you will be eligible for is Rs. 29.4 Lakh….How much home loan can I get on my salary?

Net Monthly income	Home Loan Amount
Rs.25,000	Rs.18,64,338
Rs.30,000	Rs.22,37,206
Rs.40,000	Rs.29,82,941
Rs.50,000	Rs.37,28,676

Is 40\% of income too much for mortgage?

Aim to keep your mortgage payment at or below 28\% of your pretax monthly income. Aim to keep your total debt payments at or below 40\% of your pretax monthly income. Note that 40\% should be a maximum. We recommend an even better goal is to keep total debt to a third, or 33\%.

How much home loan can I get on 90000 salary?

For instance, if your net salary is Rs. 55,000, you will be eligible for a loan of approximately Rs 33 lakhs….How to calculate your home loan eligibility?

Net Monthly Income (Rs.)	Home Loan Amount (Rs.)
70,000	54,81,756
80,000	63,20,142
90,000	71,58,529

How much should be the EMI amount for a home loan?

As a rule of thumb, your total EMI amount should not exceed 50\% of your total monthly income. Now, you do the math – let’s say you are making around 40k a month, your home loan EMI should not be more than 20k a month. So, if you do a little bit of reverse calculation, that gives you a loan amount of around 20 lacs for 20 years at 10\% ROI.

Is repaying a home loan through equated monthly installments (EMIS) taxable?

Therefore, repaying a home loan through Equated Monthly Installments (EMIs) over a fixed period of time can be taxing for a borrower. What’s more, if the home loan EMI exceeds more than 50\% of a person’s income, then he or she will not have sufficient money left to pay the monthly bills or invest in other things.

Should you opt for equated monthly installments (EMIS)?

The principal amount of a home loan is comparatively higher than a car loan or a personal loan. Therefore, repaying a home loan through Equated Monthly Installments (EMIs) over a fixed period of time can be taxing for a borrower.

How much of your income should go towards your home loan?

While the combined EMIs of all your loans should not be more than 45-50\% of the total income, home liabilities should not exceed 35-40\% of the income. * As he is young with fewer financial responsibilities, he should try to prepay his home loan.