The Pradhan Mantri Awas Yojana (PMAY) is an initiative taken by the Government of India to make buying home affordable for the poor population of India. People belonging to the following income group are the primary beneficiaries of this scheme-
Economically Weaker Section (EWS)
Low Income Group (LIG)
Middle Income Group –I (MIG I)
Middle Income Group-II (MIG II)
By the end of the year 2022, the government aims to provide 2 crore affordable houses. The project is already in its 2nd phase. Active measures are being taken to implement the PMAY scheme on a large scale, across all major States and Union Territories in India. In fact, affordable housing under PMAY was one of the key issue highlighted in the Union Budget 2019.
More about PMAY
The PMAY scheme offers subsidy on the house loan interest rates for eligible beneficiaries under the scheme. Primarily, the PMAY is divided into two components-
Pradhan Mantri Awas Yojana- Urban (PMAY-U)
Pradhan Mantri Awas Yojana- Grameen (PMAY-G)
Thus, the scheme aims to cater to the financial needs of the economically weaker population in cities, as well as for the rural poor.
PMAY Eligibility and Exemptions
As mentioned before, applicants belonging to EWS, LIG, and MIG- I & II economic classes are eligible to take the benefit of the PMAY scheme. Although the eligibility criteria are more or less the same for all these economic classes, the following particular can shed some details on the parameters.
The annual household income should not exceed INR.3,00,000 and INR.6,00,000 for EWS and LIG respectively.
The maximum carpet area of the house that is to be built by benefitting from this scheme should not exceed 30 sq.m and 60 sq.m for EWS and LIG applicants respectively.
The tenor for calculating the subsidy amount exceeds up to 20 years.
The ownership of the house must be in the name of the female family member. This female member can enjoy either sole ownership or must be a co-owner with the male applicant.
Exemptions under PMAY for EWS and LIG
The applicant must not have a pucca house in his/her name or in the name of any immediate family member.
The applicant must not have availed any housing assistance from any State or Central Government.
Location of the property should be in statutory towns and adjacent areas that fall under the 2011 census.
MIG – I & II
The annual income for MIG –I and MIG-II should be between INR.6-12 lakhs and INR. 12-18 lakhs respectively.
The maximum carpet area of the house that is to be built by benefitting from this scheme should not exceed 160 sq.m and 200 sq.m for MIG I and MIG II applicants respectively.
There should be a female candidate for the joint ownership of the property.
Exemptions under PMAY for MIG –I & II
The applicant must not have a residential property in his/her name or in the name of his/her family member
The applicant must not have availed any assistance from the State or Central Government Housing Scheme.
Having a female owner is a must. If the applicant applying for the PMAY scheme is male, he needs to include a female member of his family as the joint owner of the property to be bought/built with the subsidy.
How to Apply for the PMAY scheme?
Eligible applicants living in urban cities or those who belong to small rural villages in India can apply for the house loan subsidy under the PMAY scheme with these easy steps-
Log in to the PMAY official website at https://pmaymis.gov.in/
Click on the citizen assessment tab and choose the PMAY component under which you want to avail the scheme’s benefits (EWS, LIG, MIG or slum dwellers)
Submit your Aadhar Card details to proceed with the application
Once you submit your Aadhar details, you would be redirected to the application page once again to fill in your personal details
Once you fill all your details, you can save your application by entering the captcha code.
You can then take out a printout of your PMAY application for future use.
How Can An Applicant Claim Subsidy On His/Her Home Loan?
Primarily, there are 2 Central Nodal agencies under which the PMAY home loan interest subsidy is granted. They are-
Housing and Urban Development Corporation (HUDCO)
National Housing Bank (NHB)
Whenever an applicant approaches a bank for a home loan under the PMAY scheme, these institutions avail the subsidy from the above-mentioned institutions. Before granting the subsidy, these institutions combs through the borrower’s PMAY application. It is only after a proper verification that the home loan interest subsidy is granted.
Frequently Asked Questions
Q. Is there any charge to apply for the PMAY Scheme?
A. The PMAY online apply does not require you to pay any charges. However, if you apply through an offline mode, you might be asked to pay a fee of INR 25.
Q. Can a person apply for the PMAY twice?
A. No. You cannot apply for PMAY twice. An applicant’s Aadhar Card details are linked to his/her PMAY application. Therefore, even if the applicant applies twice, his/her Aadhar details will disallow the second application.
Q. What is the maximum tenure for availing a home loan subsidy under the PMAY?
A. All eligible candidates can enjoy a tenure of 20 years (5 years more than the earlier 15 years) on their PMAY subsidy. This tenure can further fluctuate depending on the value-added services offered by the respective bank or loan provider.
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