Pradhan Mantri Awas yojana is a ambitious housing scheme launched by Prime Minister Narendra Modi ji and by the NDA government. Main aim of this scheme is to provide ‘Housing for all’ by year 2022. The Pradhan Mantri Awas Yojana (PMAY) has recently expanded its scope to fulfill to the housing needs of the mid-income group, besides the economically weaker sections (EWS) and low-income group (LIG).
Good news – Recently, in the Hon’ble Prime Minister of India Shri Narendra Modi doubled the quantum of loan eligible for interest benefits under the Central Government’s ambitious scheme ‘Pradhan Mantri Awas Yojana’ in urban areas to ₹12 lakh.
What is Pradhan Mantri Awas Yojana?
- PMAY was launched in June 2015.
- The Government started building affordable pucca houses with water facility, sanitation and electricity supply round-the-clock.
- The Pradhan Mantri Awas Yojana was launched to provide affordable housing units to each homeless people of the nation. Initially, this scheme was limited upto the EWS category people and LIG (annual income not exceeding ₹6 lakh) sections, but now it has been extended upto the mid-income group (MIG) as well.
PMAY scheme comprises of four key aspects.
- it aims to transform slum areas by building homes for slum dwellers in collaboration with private developers.
- it plans to give a credit-linked subsidy to weaker and mid income sections on loans taken for new construction or renovation of existing homes.
- Under the PM Awas Yojana, an interest subsidy of 3% to 6.5 % has been set for loans ranging between ₹6 lakh and ₹12 lakh.
- Besides this, all the applicants of EWS and LIG category who are willing to avail benefits of loan of up to ₹6 lakh, there is an interest subsidy (concession) of 6.5 % for tenure of 15 years.
- The Central Government will provide them financial assistance for affordable housing projects done in partnership with States/ Union Territories for the EWS.
- This scheme will be extended directly financial assistance of ₹1.5 lakh to EWS.