The Government of India had launched the Pradhan Mantri Awas Yojana scheme in the year 2015. It aims to build 2 crore houses in 7 years and better living conditions for homeless Indian citizens. In 2021, this initiative is in its second phase.
Pradhan Mantri Awas Yojana benefits the economically weaker section (EWS), low-income group (LIG) and middle-income group (MIG) individuals of the society immensely. It essentially provides a home loan interest subsidy to society’s financially challenged individuals to help them own pucca homes. This government initiative has been taken to develop the country further.
Citizens, who wish to apply for the PMAY scheme, must know the interest subsidy provided to the EWS, LIG and MIG categories. This subsidy for prospective first-time homeowners is granted to individuals who avail home loans for purposes like construction of new homes, bedrooms, kitchens, etc.
Vital Pradhan Mantri Awas Yojana benefits
Some of the vital benefits of this scheme are:
- Individuals in the EWS and LIG categories who are first time home buyers eligible for PMAY can get a subsidised interest rate of 6.5% per annum.
- PMAY is usually only applicable for a new property purchase and earning family members can sometimes be treated as a separate household if a married couple seeks a home loan. Technically, that family can avail PMAY benefits more than once.
- People living in hilly areas or difficult terrain can get an amount of Rs.1.3 lakh for their first time home constructions.
- PMAY offers many wonderful benefits to senior citizens. Such as the preference for ground floor property allocation, etc.
- Individuals belonging to the middle-income group or the MIGs with an annual income of less than Rs.18 lakh can also apply for Pradhan Mantri Awas Yojana for a home loan. However, the subsidised rates are not as low for MIG when compared to EWS/LIG.
Objectives achieved under PMAY
PMAY, with its key initiative being “Housing for all,” has made great strides in providing affordable housing to the homeless. PMAY Gramin targets to help construct more than 1 crore pucca houses. Citizens wishing to apply for PMAY online must go through the PMAY registration process within the specified dates.
Other objectives of PMAY subsidy scheme
PMAY aims for the following objectives:
- To assist vulnerable and economically challenged individuals by providing them with the benefits of proper housing. Additionally, widows and transgender individuals can avail enhanced benefits under this scheme.
- The Government of India plans to monitor this entire endeavour through an e-government system called the AwaasSoft.
- This scheme strives to make registration of the property a must and has rules for including the wives and mothers to be the beneficiaries.
- This aims to curtail slum dwelling as much as possible through specialised plans for In-situ redevelopment of such slum areas.
When looking for housing loans under PMAY list, one must seek pre-approved offers from leading HFCs to simplify their loan application process further and save time. Such offers are available on home loans, loans against property, and a variety of other financial products. Provide your name and contact details to check your pre-approved offer instantly.
The Pradhan Mantri Awas Yojana benefits are numerous, especially for the LIG and EWS categories. Besides subsidies, these beneficiaries also receive additional financial assistance to build toilets inside the sanctioned housing units.