Owning a home is a dream for many and having a decent shelter seems farfetched for the economically weaker families. The increasing costs and economic conditions make it challenging. The growth of slums is also putting national development goals on the backfoot. This is why the government initiated the Pradhan Mantri Awas Yojanain 2015.
It aims to make home loans affordable for everyone coming under the lower-income groups, middle-income class, and other weaker sections. It has proposed to build up to two million homes by the end of 31st March 2022.
Here is whatPMAY is about.
Subsidised interest rates: It is the real benefit provided through the credit-linked subsidy scheme. It allows you to get a reduction on the interest rate and monthly installments of the housing loans. If you belong to the economically weaker or low-income group, you earn an interest subsidy of 6.5 %on Rs. 6 lakh for 20 years. This amount gets increased up to Rs. 12 lakh to 18 lakh for the middle-income class with a 3% to 4% subsidy.
Construction of pucca houses: The slum rehabilitation and providing secure homes for the population are the PMAY scheme agenda. There is a massive risk of rain, calamities, flood, etc., destroying the 'kutcha' houses prevailing currently. Hence, this scheme helps replace them with 'pucca' homes for improved sheltering.
Underprivileged sections: The initiative is only applicable to the backward classes in society. The eligibility criteria require you to belong to the mentioned categories. This includes economically weaker sections that have annual wage below Rs. 3 lakh, low-income groups with earnings from Rs. 3lakh to 6 lakh and Middle-income classes with revenue ranging between Rs. 6 lakh to 18 lakh. You cannot apply if you do not belong to this classification.
Environment-friendly homes: All the houses built under the PMAY scheme must follow Real Estate Regulatory Authority (RERA) guidelines. The builders should use high-quality materials and equipment that ensure sustainable construction, and these functions should have minimal environmental impact and pollution. All these instructions provide a guaranteed foundation that does not require remodelling or reconstruction for a long time.
Urban and Gramin: The Yojana is divided into two components catering to urban and rural areas. The benefits you receive are also categorised accordingly. The fund allocation, application criteria, and assistance given vary among both. It is best to check these in detail on the official website before applying for Pradhana Mantri Awas Yojana Online.
The scheme is a flagship initiative you can take advantage of. Do not miss the deadline and apply if you belong to EWS or LIG. Also, make sure to have all the documents ready for proving your economical status at the time of application.