It is the dream of almost everyone in India to have their own dream home. But, the price of a home is not within reach of everyone.
Even people who manage to fulfill such a desire; many apply for a home loan. They repay the housing loan for 20 years and more, and that affects them outlays and income longer. But these initiatives are majorly taken by middle-class Salaried people.
What about the shelter of the poor population? It is where the Pradhan Mantri Awas Yojana (PMAY) comes into the picture.
The PM Awas Yojana intends to build scores of affordable homes using eco-friendly and sustainable technologies.
If you wish to know more about PM Awas Yojana, this post will help you know more! Continue reading!
What is the PM Awas Yojana?
The Pradhan Mantri Awas Yojana was initiated in 2015 by Prime Minister Narendra Modi. Its intention was to provide affordable housing solutions to all by 2022. Under this, low-cost homes using sustainable construction methods were to be built.
The PM Awas Yojana also has the provision to offer a PMAY subsidy on home loan interest rates to help you repay reduced EMIs. Anyone with an annual income between Rs.3 lakh and Rs.18 lakh is eligible to apply.
The PMAY subsidy was provided under the credit-linked subsidy scheme (CLSS). A home loan interest rate subsidy of up to 6.5% and rs.2.67 lakh were allowed. The home loan to enjoy the subsidy benefit ranged between Rs.6 lakh and Rs.12 lakh. The carpet area of the home using the loan must range between 30 sq. mt and 200 sq. mt.
Poverty has been one of the biggest challenges that India is facing since independence. Here, a large section of the urban and rural population is forced to spend their nights on roads and other temporary places. To solve this issue, the Central Government of India, led by PM Narendra Modi, launched the PM Awas Yojana.
Who is eligible for the PMAY scheme?
To apply for the Pradhan Mantri Awas Yojana, one needs to meet the PMAY eligibility conditions, such as:
- The PMAY applicant/beneficiary family must not own any pucca home anywhere across India. A beneficiary family means a husband, wife, unmarried sons, and daughters.
- The annual income of the applicant/household must be between Rs.3 lakh and Rs.18 lakh.
- The PMAY benefits can’t be pocketed on an already-built home.
- The applicant must not have taken any central assistance for housing earlier from the Central/State Governments.
- The home loan availed under the PMAY scheme has to be used for construction/extension within 3 years of disbursement of 1st installment.
- Women’s partnership is mandatory in EWS and LIG income groups.
Who is entitled to get how much PMAY subsidy?
- Economically Weaker Section (EWS) – Annual income – up to Rs.3 lakh – maximum PMAY subsidy – 6.5%/Rs.2.67 lakh – maximum home loan – Rs.6 lakh – maximum carpet area of the new home – 30 sq. mt.
- Lower Income Group (LIG) – Annual income – Between Rs.3 lakh and Rs.6 lakh – maximum PMAY subsidy – 6.5%/Rs.2.67 lakh – maximum home loan – Rs.6 lakh – maximum carpet area of the new home – 60 sq. mt.
- Middle Income Group 1 (MIG 1) – Annual income – Between Rs.6 lakh and Rs.12 lakh – maximum PMAY subsidy – 4%/Rs.2.35 lakh – maximum home loan – Rs.9 lakh – maximum carpet area of the new home – 160 sq. mt.
- Middle Income Group 2 (MIG 2) – Annual income – Between Rs.12 lakh and Rs.18 lakh – maximum PMAY subsidy – 63%/Rs.2.3 lakh – maximum home loan – Rs.12 lakh – maximum carpet area of the new home – 200 sq. mt.
If you fall under the mentioned income groups and meet the eligibility norms, you can apply for the PM Awas Yojana online.