Pradhan Mantri Awas Yojana is a housing plan initiated by the Central Government of India. It is an initiative taken to offer affordable housing for the low-income group, middle-income group and economic weaker section of both the urban and rural society. The scheme has two components – PMAY Urban, customised for urban households, and PMAY Rural, designed for families in rural India.
Here is a detailed overview of PMAY eligibility, housing scheme, and application process.
PMAY eligibility criteria
Under the PMAY scheme, the Government aims to offer “housing for all” by 2022. The house will be built with eco-friendly and sustainable construction technology and will have all basic amenities. The PMAY scheme also offers Credit Linked Subsidy Scheme (CLSS) on the home loan interest rates to make home loans affordable for residents of India.
However, an applicant will have to fulfil the following eligibility criteria to enjoy the PMAY benefits:
- An applicant himself or any of his/her family members must not have a pucca house anywhere in India.
- An applicant’s family must not have availed any other housing scheme assistance under either the state or central Government.
- Applicants falling under the EWS must have a household income of less than Rs.3 lakh.
- Beneficiaries falling under LIG category should have an annual family income of Rs.3-6 lakh.
- Beneficiaries falling under the MIG-1 must have an annual income below Rs.12 lakh and can borrow a loan up to Rs.9 lakh.
- Beneficiaries falling under MIG-2 must have an annual income between 12-18 lakh and can borrow a loan of up to Rs.12 lakh.
- PMAY scheme is pro-woman. If any applicant is male, he must have a female member of the family as the co-owner of the property.
PMAY application procedure
Applicants who qualify the PMAY eligibility criteria can apply for PMAY offline at any Common Service Centres (CSCs) located across the country or through online by visiting official Government website.
Here is a step by step guide on PMAY application procedure
- First log-in into PMAY website- pmaymis.gov.in
- Then enter username and password.
- After this, go to the “Citizen Amendment Tab” on the website’s home page. Select the category under which you wish to apply for the PMAY loan from the drop-down box.
- Once the category is selected, next, add your Aadhaar details on the page displayed.
- The page will automatically redirect to an online application form where applicants will have to enter all their personal information like income details, bank details, co-applicant details, and more.
- Following this, applicants will have to enter a captcha code and click on submit to complete his/her PMAY application process.
PMAY housing scheme an overview
- Slum development
The Government of India aims to build 200+ homes by the end of 2022. Its targets are to utilise the areas locked in the slums across cities for cost-effective housing construction.
- Scheme for affordable housing partnership
The Government offers to pay a subsidy of over Rs.1.5 lakh to builders who will partner with the housing scheme.
- Beneficiary led housing construction
Offer financial assistance to the economically weaker section of the society to construct new houses or enhance their existing houses.
- Credit Linked Subsidy Scheme
The Government offers around 6.5% PMAY subsidy on housing loan interest rates. This makes the EMIs affordable for home loan borrowers.
Along with the CLSS scheme under PMAY, home loan borrowers must also check the pre-approved offers provided by financial institutions for existing customers to enjoy quick loan approval and disbursement process. These offers are available on a number of products, like home loans, loans against property etc. Applicants can easily check their pre-approved offers by just entering their name and number details.
PMAY is one of the most beneficent housing schemes offered by the Government of India for a different section of society. It makes buying a property extremely convenient and cost-effective. Therefore, home loan borrowers must check all the PMAY eligibility parameters and essential documents required to reduce their debt burden and make an informed decision. One can also track their application online by checking their PMAY status.