Please enable JS
ENQUIRE NOW
HOMES FOR ALL INITIATIVE
HOME FOR ALL
INITIATIVE

Envisioned by our Hon. Prime Minister Shri Narendra Modi in the Joint Session of Parliament on 9th June 2014, the Pradhan Mantri Awas Yojana (PMAY) is a mission with an aim of providing ‘Housing for All (HFA)’ to be achieved by 2022, by when India would be completing 75 years of independence.

ABOUT
PMAY SCHEME

Own a home and save up to Rs. 2.67 Lakhs

Envisioned by Hon. Prime Minister Shri Narendra Modi, PMAY is designed specifically to help citizens from the Economically Weaker Sections (EWS) and Low Income Groups (LIG) realize their dream of owning a home. These sections can now seek housing loans from banks, housing finance companies and similar institutions to purchase new homes and also avail a subsidy of up to Rs. 2.67 lakhs on their first home.

- This mission seeks to address the housing requirements of our urban poor, including slum dwellers, through the following program verticals.

- The scheme is available only for loan amounts of up to Rs. 18 lakhs and would have a subsidized interest rate of 6.5% for 15 years or for the tenure of loan, whichever is lower.

- The Net Present Value (NPV) of the interest subsidy will be calculated at a discount rate of 9%.

- Any additional loans beyond Rs. 6 lakhs will be at a non-subsidized rate. Interest subsidy will be credited upfront to the loan account of beneficiaries through lending institutions, resulting in a reduced effective housing loan and equated monthly installments (EMI).

Also, part of the objectives are:

  • Rehabilitation of slum dwellers with the participation of private developers using land as a resource.
  • Promotion of affordable housing for the weaker sections of society through a credit-linked subsidy.
  • Affordable housing in partnership with public and private sectors.
  • Subsidy for beneficiary-led individual house construction /enhancement.
FAQs
A family comprising of husband, wife and unmarried children. Such beneficiary should not own a pucca house in the name of any member of his / her family in any part of India.
Houses made with high quality materials throughout, including the floor, roof, and exterior walls, are called pucca houses.Houses made from mud, thatch, or other low-quality materials are called katcha houses.
The EWS/LIG categories are defined as follows:
  • Economically Weaker section (EWS) households with an annual income upto Rs. 3.00 lakhs.
  • Low Income Group (LIG) households with an annual income between Rs. 3.00 lakhs to Rs.6.00 lakhs.
  • Middle Income Group (MIG-1) households with an annual income between Rs. 6.00 Lakhs to Rs. 12.00 Lakhs.
  • Middle Income Group (MIG-2) households with an annual income between Rs. 12.00 Lakhs to Rs. 18.00 Lakhs.
For identification as an EWS or LIG beneficiary under the scheme, an individual loan applicant will submit self-certificate/affidavit as proof of income.
A house is defined as an all-weather single unit or a unit in a multi-storeyed super structure having carpet area of upto 30 sq. m. for EWS category, upto 60 sqm. for LIG category, upto 120 sqm. for MIG-1 category and upto 150 sqm. for MIG-2 category with adequate basic civic services and infrastructure services like toilet, water, electricity, etc
Area enclosed within the walls, actual area to lay the carpet. This area does not include the thickness of the inner walls.
Yes, he can be covered under subsidy for beneficiary led individual house construction scheme, if otherwise eligible.
Under Credit Linked Subsidy, beneficiaries can seek housing loans from Banks, Housing Finance Companies and other such institutions for new construction and enhancement to existing dwellings as incremental housing. The credit linked subsidy will be available only for loan amounts specified for each category and such loans would be eligible for an interest subsidy at the specified rate for tenure of 15 years or during tenure of loan whichever is lower. The Net Present Value (NPV) of the interest subsidy will be calculated at a discount rate of 9%. Any additional loans beyond specified Loan Amount, will be at nonsubsidized rate. Interest subsidy will be credited upfront to the loan account of beneficiaries through lending institutions resulting in reduced effective housing loan and Equated Monthly Instalment (EMI).
Primary Lending Institutions are Scheduled Commercial Banks, Housing Finance Companies, Regional Rural Banks (RRBs), State Cooperative Banks, Urban Cooperative Banks or any other institutions as may be identified by the MoHUPA.
In an example, where the borrower avails a loan for Rs. 6.00 lakhs and subsidy thereon works out to Rs. 2.20 lakhs, the amount (Rs. 2.20 lakhs) would be reduced upfront from the loan (i.e., the loan would reduce to Rs. 3.80 lakhs) and the borrower would pay EMIs on the reduced amount of Rs. 3.80 lakhs.
The carpet area of houses being constructed under this component should be upto 30 sq.m. for EWS category and upto 60 sq.m. for LIG category, upto 120Sq.m for MIG-1 and upto 150 Sq.m for MIG-2. This means that if the carpet area exceeds the respective limits, then the beneficiaries would not be eligible to avail of the benefit under this component.
The subsidy would be disbursed to the beneficiaries account upfront by deducting it from the principal loan amount. As a result, the borrower will pay EMI on the remainder of the principal loan amount.
In such cases, the subsidy is to be recovered and refunded to the Central Government.
EWS and LIG could be grouped together at one plot, but it will be eligible for central assistance only if at least 35% in the project are for EWS category and the single project has at least 250 houses.
No. Under the mission, a beneficiary can avail of benefit of one component only.
No, household cannot take the benefit under CLSS as spouse in beneficiary family/household already owns one property
In case a borrower who has taken a housing loan and availed of interest subsidy under this scheme but later on switches to another lending institution for balance transfer, such beneficiary will not be eligible to claim the benefit of this scheme again.