PMAY or Pradhan Mantri Awas Yojana was initiated in 2015 by the Government of India to provide affordable housing to various sections of the society. The motto of this housing scheme was ‘housing for all’ covering the entire population consisting of multiple strata by 2022.
Under this scheme, an individual can avail of home loans at a subsidized interest rate. The loan can be used to buy or construct a house.
Nevertheless, the government has embedded various criteria that one has to fulfill to be eligible for the loan.
Who can avail of home loans under PMAY?
To make the process transparent and so that every deserving individual can reap the benefits, there are specific parameters one has to fulfill. Fulfilling those requirements will result in faster approval of the PMAY application.
Any individual who meets the following criteria can avail the advantages associated with home loan subsidy –
An individual belonging to any of the sections such as Middle-Income Group I (MIG I), Middle-Income Group II (MIG II), Economically Weaker Section (EWS), or Lower Income Group (LIG).
The applicant or his/her family members should not be a beneficiary of any other housing scheme by the government.
An individual should not hold a pucca house, following which the application for a home loan will stand void.
Applicants should also note that to be eligible for Pradhan Mantri Awas Yojana, their family members should comprise of husband and wife along with their unmarried children.
Home loan subsidy under PMAY
Under the Credit Linked Subsidy Scheme of PMAY, the beneficiaries will be provided with a home loan subsidy. Nevertheless, the loan amount and subsidy rate are likely to differ based on the income structure of an applicant.
A detailed analysis of the same that you must know before taking a home loan is given below –
EWS – Maximum loan amount one can avail under this category is Rs.3 lakh at a subsidy rate of 6.5%.
LIG – The maximum loan amount one can receive under this income category is between Rs.3 lakh and Rs.6 lakh at a subsidy rate of 6.5%.
MIG 1 – The highest amount of loan at a subsidy rate of 4%, one can receive is between Rs.6 lakh and Rs.12 lakh.
MIG 2 – One can avail loan as high as Rs.12 lakh and Rs.18 lakh at a subsidy rate of 3%.
Therefore, make sure you provide substantial proof of income to be eligible for this housing scheme. Also, consider the tenor period within which you will have to repay the entire loan can be as high as 20 years.
Also Read: Determine Yourself If You Are Eligible for a Home Loan Subsidy Under PM Awas Yojana
How to apply for PMAY?
To apply for PM Awas Yojana, you may opt for the online procedure, which is both convenient and secure. All you have to do is visit the official website for this housing scheme by the government. After that, fill in the necessary details with an adequate proof for the same.
Enter details of your Aadhaar card, income, and address as a part of KYC verification. Following this, you will be able to check your application status on that web portal to know its progress.
Home loans under the Pradhan Mantri Awas Yojana have been a commendable initiative taken by our central government. Its success has been largely significant all over the country.
