1. What is LIC Housing Finance Home Loan?

LIC Housing Finance offers home loans with competitive interest rates starting at 8.50% p.a. The loan eligibility depends on your repayment capacity, interest rate, and loan tenure.

2. How Does the Calculator Work?

The calculator uses the present value of annuity formula:

Where:

• \( P \) — Maximum loan amount (principal)
• \( PMT \) — Affordable monthly payment (EMI)
• \( r \) — Monthly interest rate (annual rate ÷ 12)
• \( n \) — Total number of payments (term in years × 12)

Explanation: The formula calculates the present value of a series of future EMI payments at the given interest rate.

3. Importance of Loan Eligibility Calculation

Details: Knowing your maximum eligible loan amount helps in property selection and financial planning before applying for a home loan.

4. Using the Calculator

Tips: Enter your comfortable EMI amount, current interest rate (starting at 8.50% p.a.), and desired loan tenure in years. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What factors affect my actual loan eligibility?
A: Besides this calculation, LIC considers your income, age, existing obligations, credit score, and property value.

Q2: What is the maximum tenure available?
A: LIC Housing Finance typically offers home loans up to 30 years tenure, subject to age criteria.

Q3: Are there prepayment charges?
A: LIC Housing Finance doesn't charge prepayment penalties for floating rate loans.

Q4: What is the minimum loan amount?
A: Minimum loan amount is typically ₹5 lakhs, though this may vary.

Q5: What documents are required for application?
A: Standard documents include income proof, identity/address proof, property documents, and bank statements.