If you don’t have a pucca home yet anywhere in India and wanted to buy your first ever dream home, you don’t have to worry about anything.
It is because it is possible to enjoy the PMAY subsidy on home loan interest rates and pay reduced EMIs. Yes, you can apply under the PM Awas Yojana.
The Pradhan Mantri Awas Yojana (PMAY) is a housing scheme of the Central Government of India.
If you want to know how the PM Awas Yojana can help you buy a dream home and pay lower EMIs, here is a quick post!
What is the Pradhan Mantri Awas Yojana?
The Pradhan Mantri Awas Yojana or the PM Awas Yojana scheme of the Narendra Modi led Central Government of India. Under this, there is a provision to build around 2 crore affordable homes using sustainable technologies. Differently-abled citizens, women and senior citizens are preferred in allotment of ground floors.
Besides this, the PMAY scheme also lets you enjoy a home loan interest subsidy of up to 6.5% or Rs.2.67 lakh. The interest rate subsidy depends on your income category and meeting other eligibility criteria.
Thus, it would be good to check out the PM Awas Yojana eligibility and then move on to know about the PMAY subsidy.
What are the PMAY eligibility criteria?
To avail of the PMAY subsidy, and avail lower rates to pay reduced EMIs, you will have to meet the PMAY eligibility terms. Let’s take a look:
- The applicant/beneficiary family must not have a pucca home anywhere in India. A beneficiary family includes a husband, wife, unmarried sons, and unmarried daughters.
- To avail of the benefits of the PMAY scheme, you/your household’s income must be between Rs.3 lakh and Rs.18 lakh.
- You can’t avail of the PMAY scheme benefits on an already built house.
- You or the beneficiary family must not have got assistance under any previous housing schemes. It is under Central or State Governments.
- The home loan on which PMAY subsidy is availed must be used within 36 months to build or buy a house. It is from the disbursement date of the home loan’s 1st instalment.
Who is eligible for the PMAY subsidy?
Anyone earning an annual amount between Rs.3 lakh and Rs.18 lakh is entitled to apply for the PMAY subsidy. The amount and the PMAY subsidy are further segregated as per one’s income groups. Let’s take a look:
1) Annual income up to Rs.3 lakh
You belong to the Economically Weaker Section (EWS) if your yearly earning is up to Rs.3 lakh. The home loan subsidy must be max up to 6.5% and Rs.2.67 lakh in this case. The maximum home loan amount you can from get the PMAY subsidy is up to Rs.6 lakh. The maximum home loan carpet area is 30 square meter.
2) Yearly income between Rs.3 lakh and Rs.6 lakh
You are categorized under Lower Income Group (LIG) if your annual income is between Rs.3 lakh and Rs.6 lakh. All other aspects remain as per EWS’s terms. Only the maximum carpet area is 60 square meter.
3) Annual Income between Rs.6 lakh and Rs.12 lakh
Individuals earning a yearly income between Rs.6 lakh and Rs.12 lakh are kept under Middle Income Group 1 (MIG 1). The PMAY subsidy of 4% and Rs.2.35 lakh is what is allowed. The maximum home loan amount is up to Rs.9 lakh, and the carpet area is 160 sq. mt.
4) Yearly income between Rs.12 lakh and Rs.18 lakh
Middle Income Group 2 applicants under PM Awas Yojana have a yearly income between Rs.12 lakh and Rs.18 lakh. The maximum home loan to enjoy the PMAY subsidy is up to Rs.12 lakh. The carpet area of the new home can’t go beyond 200 sq. mt.
If you belong to any of these PMAY income categories and don’t have your own house yet, you can apply for the PMAY Awas Yojana online today.