Apply Online Pradhan Mantri Awas Yojana 2017 Gramin and Urban Application Form
A mission is being run in India i.e housing for all by 2022. Yes, in India, such schemes are launched for rural areas more, but now the focus is also on urban poor.
The Pradhan Mantra Awas Yojya (PMAY) is under re-working. There are four parts of the scheme. One of it is – promotion of affordable housing for weaker section through credit linked subsidy. This is focused towards the urbanites and will attract them more.
Changes in this ‘yojna’
Some changes are being made in the scheme, they are as follows:-
- Currently existing focus is the EWS and the LIGs. They are those who are earning Rs. 3-6 lakhs annually. Two new slabs are yet to be introduced, which will bring people earning, 12-18 lakhs annually. The subsidy slab is yet to be defined.
- For the four metropolitan cities (Delhi, Mumbai, Kolkata and Chennai), carpet area approved is 30 square meters. For the rest of the country, the approved carpet area is 60 square meters.
The eligibility criteria to avail the benefits of this scheme are mentioned below:-
- The applicant should not (already) own a pucca house, be it on his/her name or somebody else in the family, in entire India.
- It is about income as the primary role player. It should be up to 3 lakhs per annum. More than this may not fall into the bracket. Editing and reworking is under process though.
The house that applicants will receive finally will have basic facilities, like water, electricity and sanitary arrangements.
Income bracket and subsidy
Irrespective of the amount of loan taken, the subsidy will be applicable only up to Rs. 600000. This loan will have 6.5 percent interest subsidy on them. Additional loan will not come under the umbrella of subsidy.
The subsidy on interest will get credited, right away, to the account of the applicant, by the lending institutions. This is expected to result in the form of, on time payment of EMIs and other related benefits. For instance, if you take a loan @ 9% rate, all you need to pay is 2.5% interest, on Rs. 600000. If the amount is more, you will have to pay interest at the rate of 9% thereafter.
Example- If you avail a loan of Rs. 6 lakhs and the subsidy calculated is Rs. 2.20lakhs, then this amount of subsidy, will get deducted from the loan, i.e. it will be Rs.3.80 lakhs, and you as a borrower will have to give EMIs of the amount 3.80 lakhs.
The latest slab for urban poor is for the people earning Rs.12lakhs/ annum. They will get 4% interest subsidy on the principal amount. For the slabs of people earning Rs. 18lakhs/ annum will get subsidy of 3% on the principal component amounting to Rs. 12 lakhs. The time slab decided, for repayment of loan is currently 20 years, for some aspects it is 15 years.
While investing into something like this, make sure you update yourself with all the possible information. There are some provisions for first time buyers and some special clauses for second property owners. Though subsidies seem promising, yet beware while investing.