Did you know that buying a home is a better option than renting nowadays, with the credit-linked subsidy scheme under the Pradhan Mantri Awas Yojana one is now eligible to avail attractive interest subsidies on applying home loan.
What is Pradhan Mantri Awas Yojana (PMAY)?
Pradhan Mantri Awas Yojana (PMAY) was introduced by the Indian government in June 2015 to promote sustainable and affordable housing. The government has set a target that by 2022, all people have their own houses.
This scheme is also called ‘Housing for all by 2022’. The government announced to give subsidy on the interest of housing loans based on particular economic sections.
The scheme categorizes applicants into the following categories on the basis of family annual income.
- EWS (Economically Weaker Section)
- LIG (Lower Income Group)
- MIG (Middle Income Group) This group further divided into two types based on annual income.
If your family income is up to rupees 3 Lakh then you fall under the EWS category. If it ranges between 3 Lakh to 6 Lakh then you fall under the LIG category. If it ranges between 6 lakh to 12 lakh then you fall under the MIG – 1 category and if it ranges between rupees 12 lakh to 18 lakh, then you fall under the MIG – 2 categories.
For EWS and LIG you can avail of an interest subsidy of 6.5% per annum, on a first rupees 6 lakh of the loan amount, up to a maximum of Rs. 2.67 lakh.
For MIG – 1 category, you can avail of an interest subsidy of 4% per annum, on the first Rs. 9 lakh of the loan amount up to a maximum of Rs. 2.35 lakh to purchase a home with a maximum of a carpet area of 968 sq. feet.
For MIG -2 category, you can get an interest subsidy of 3% per annum, on the first Rs. 12 lakh of loan, up to maximum Rs. 2.30 lakh to purchase a house with max. of carpet area of 1184 sq. feet.
Progress of PMAY:
Pradhan Mantri Awas Yojana – Urban comprises around 4300 cities and towns across India. As per the Ministry of Housing and Urban affairs report data, progress detail of this PMAY scheme shows below.
Check PMAY High-Level Physical Progress Report Online
PM Awas Yojana Benefits available for:
- New or resale purchase of the home
- Construction
- Extension or Improvement of rooms, kitchen, toilet, etc.
Eligibility Criteria of PMAY Scheme:
- You can only apply for this scheme as an individual applicant and the number of applicants could be up to 6. These applicants should be more than 18 years of age.
- There is no restriction on the value of the house being purchased or loan being availed.
- For Immediate family like spouse and unmarried children and should have never owned a Pucca House before.
- If you are purchasing a house in the EWS/LIG category, it is mandatory to have a woman owner/co-owner. However, if you belong to MIG-1 and MIG-2 category then female ownership is not mandatory.
- In the case of home renovation/extension in EWS & LIG categories, the carpet area of the house can be a maximum of 323 sq. feet and 645 sq. feet respectively.
- This scheme is applicable for customers purchasing/constructing their first home in the family (family includes husband/wife/unmarried children). For MIG 1 and 2 categories, earning adults ( Irrespective of material status) can be treated as a separate family.
- Pradhan Mantri Awas Yojana subsidy is only available for PUCCA houses and located in Urban areas only.
To check whether your house falls under the approved location of PMAY, visit this official website www.pmaymis.gov.in
Documents Required for Pradhan Mantri Awas Yojana:
- Application form (Download from official website)
- KYC Documents & Photograph
- Pan card and Aadhar card
- Last two Salary slip & last 6 months bank statement of a applicants or latest Form 16
- For self-employed applicants must provide Income tax returns of the last 2 years and bank statements
- For self-employed applicants mandatory to submit address proof for businesses
How to Apply for Pradhan Mantri Awas Yojna?
To apply for PMAY scheme, follow below steps:
Step 1. Go on the official PMAY website: http://pmaymis.gov.in
Step 2. Now click on Citizen Assessment -> Apply Online menu option, choose relevant form type.
Step 3. Then you have to enter the Aadhaar card or Virtual ID and applicant name as per Aadhaar.
Step 4. After that click on the read and agree to checkbox and submit the ‘Check’ button.
Step 5. Now you will be redirected to the Application page.
Step 6. The applicant must fill all required fields in detail on this page. (Should recheck all information before submission)
Step 7. After click on the ‘save’ option, the applicant will get a unique application number.
Step 8. Download the filled application form.
Step 9. After this, the applicant must submit this form at the nearest CSC office along with other required documents.
Note: For offline mode, you can directly approach the nearest authorized bank branch to apply for this PMAY scheme.
How to Track Your PMAY Assessment Status?
By following the given steps, you can easily track your application status with the help of your personal information Or by Assessment ID. Let’s check it.
- Visit the official website http://pmaymis.gov.in.
- Now go on Citizen Assessment -> Track your Assessment Status menu option.
- A form will show with two options, where you can check the status via providing the Applicant name, father’s name & Mobile no. OR By Assessment ID
- After submitting this form your assessment current status shown on screen.
Check PMAY subsidy status online
Tax Benefits of PMAY:
You will avail of Tax Exemption on interest paid up to Rs. 2,50,000 and the principal paid up to Rs. 1,50,00 in according to section 80c, Section 24 & Section 80EE of the Indian Income-tax act.
FAQs:
Ques: Is MIG-1 and MIG-1 still apply to this scheme?
Ans: No. this scheme is over for them in March 2020.
Ques: Is EWS/LIG group still apply to this scheme?
Ans: Yes, both category group applicants may apply up to March 2022.
Ques: Where can I apply for the PMAY scheme?
Ans: You can apply for this scheme via Online and Offline mode. Go on the official website to apply online and for Offline visit the nearest CSC office.
Ques: My family income is 2 Lakh per annum, in which category do I fall as per PMAY?
Ans: Below Rs. 3 Lakh family annual income candidates come under the EWS section.
Ques: Can NRIs apply for this PMAY scheme?
Ans: NRIs can be considered eligible under this scheme and are also in compliance with other RBI/GOI rules, if any, applicable to NRIs.
Ques: What is the maximum tenure?
Ans: Subsidy is available for max. tenure of 20 Years