How do you use the house hunting budget planner?
- Enter your monthly take-home pay, any EMIs you already pay, your savings and the emergency fund you want to keep aside.
- Set the most of your pay you are willing to put into EMIs, and what you expect to spend on interiors and moving.
- The loan rate, tenure, safety buffer, a price to test and the stamp duty and registration rates are under “Adjust rates, loan and buffer”.
How is the budget worked out?
Two things cap what you can buy. The first is the loan. Your new EMI is your take-home pay times the share you allow for EMIs, less the EMIs you already pay, and that EMI supports a loan of a certain size at the rate and tenure you choose. RBI rules also stop a bank lending more than 90% of the value on loans up to ₹ 30 lakh, 80% up to ₹ 75 lakh and 75% above that.
The second is cash. You pay the down payment plus stamp duty, cess, surcharge and registration from your savings, after setting aside the emergency fund and the money for interiors and moving. The planner finds the highest price that passes both tests, then takes the safety buffer off to give a comfortable budget.
The steps
Take-home × EMI share − current EMIsLower of: loan the EMI supports, RBI limit on the pricePrice − loan + stamp duty and registration ≤ savings − emergency fund − interiors and movingHighest price that passes × (1 − safety buffer)Worked example: ₹ 2 lakh take-home, ₹ 40 lakh saved
Half the pay less ₹ 20,000 of existing EMIs leaves ₹ 80,000 a month, enough for a loan of ₹ 92,18,467 at 8.5% over 20 years. Cash is tighter: after the ₹ 8 lakh emergency fund and ₹ 11 lakh for interiors and moving, ₹ 21 lakh is left. That covers a resale flat up to ₹ 76,08,000. With a 10% buffer the comfortable budget is ₹ 68,47,000: a loan of ₹ 54,77,600, a down payment of ₹ 13,69,400 and ₹ 5,20,372 in stamp duty and registration.
Worked example: ₹ 1 lakh take-home, ₹ 60 lakh saved
Here the EMI is the limit. ₹ 50,000 less ₹ 20,000 of EMIs supports a loan of ₹ 34,56,925, so the range tops out at ₹ 70,23,000 and the comfortable budget is ₹ 63,20,000, even with plenty of savings. The down payment is ₹ 28,63,075, well above the bank’s minimum.
Budget at different savings
| Savings | Comfortable budget | Top of range | Limit |
|---|---|---|---|
| ₹ 30,00,000 | ₹ 35,86,000 | ₹ 39,85,000 | Cash |
| ₹ 40,00,000 | ₹ 68,47,000 | ₹ 76,08,000 | Cash |
| ₹ 60,00,000 | ₹ 1,11,39,000 | ₹ 1,23,77,000 | EMI |
| ₹ 80,00,000 | ₹ 1,28,12,000 | ₹ 1,42,36,000 | EMI |
What should you keep in mind?
- Banks set their own limit on EMIs as a share of income and look at your credit score, so the loan they offer can be lower. Get an in-principle approval before you shortlist.
- Stamp duty and registration use Karnataka rates. Confirm them on Kaveri Online before registering.
- Ask your lawyer to check the title and approvals of any flat before you pay a token amount.
Frequently asked questions
Related answers and guides
- Home Loan Down Payment: RBI's LTV Limits Explained
- Flat Possession Checklist Before Handover
- Questions Before House Hunting in Bengaluru: 25 to Answer
- Token Amount Checklist: Verify Before You Pay
Sources
- RBI Master Circular on Housing Finance: loan-to-value limits of 90%, 80% and 75%. Checked 19 Oct 2026.
- Karnataka Stamp Act, 1957 and Revenue Department notification RD/46/MNMU/2025 (registration fee 2% from 31 August 2025). Rates verified 18 Oct 2026.
- Income, savings, EMI share, interiors and buffer are your inputs; 8.5% over 20 years is a default, not a quote.
Indicative only. Banks decide the final loan. Check tax with your Chartered Accountant, have your lawyer review the title and agreement, and confirm stamp duty and registration on Kaveri Online before registering.
Buying a home in Bengaluru? Talk to an acre&key advisor.