All about Pradhan Mantri Awas Yojana – Housing scheme by Government.

By Abhay Harish Shah , Realty Quarter

Buying a house is an essential need that each individual is desired. While the rich and the high society can without much of a stretch stand to purchase their own house, a dominant part of lower-middle-class and poor are as yet denied of this essential facility. To address the issue of the intense housing deficiency in India, the Union government reported the aspiring Pradhan Mantri Awas Yojana (PMAY) under which, around 20 million moderate homes will be worked by 2022.

As per information sourced through RTI, the administration has given a subsidy of over Rs 12,717 crore to different home purchasers till March this year (2019) under the Credit-Linked Subsidy Scheme (CLSS).

Pradhan Mantri Awas Yojana (Urban) aims to provide housing for all by 2022 and CLSS is one of the sub-schemes under the NDA government. This scheme was launched in June 2015, by Prime Minister Narendra Modi. The government is planning to build 1crore houses in the coming 7 years.

It ought to be noticed that endowment dispensing by the legislature has nearly multiplied in the past three months. While just Rs 6,943.95 crore had been attributed straightforwardly to 3,14,703 recipients under CLSS till 27 December 2018, an astounding Rs 5,771 crore was dispensed in the January-March period.

Pradhan Mantri Awas Yojana (PMAY) consists of 4 components viz; CLSS, Situ slum redevelopment, Affordable Housing in Partnership and Beneficiary Led Construction. All of the above schemes include central assistance provided by the ministry to all the beneficiaries to build their own houses.

Eligibility criteria for PMAY scheme:

1) An individual or the family member who apply for this scheme should not have another house under their name.

2) Annual household income should not exceed more than Rs.18 lakhs. The total calculation of household income is done on the earnings of a husband, wife and any unmarried sons or unmarried daughters.

3) The house should be purchased jointly in the name of husband and wife, or only the name of the wife. If there is no adult female in the house then the house can be registered in the name of a male member.

4) To avail this scheme a person should purchase a house whose carpet area is less than 60 sq.mtrs for income not exceeding more than Rs. 6 lakhs per annum, 90 sq.mtrs for income not exceeding more than Rs 9 lakhs per annum, and 110 sq.mtrs for income not exceeding more than Rs 18 lakhs per annum.

5) Under this scheme, a family can person only a single flat.

6) The subsidy will be only paid through the provider of the housing loan like from banks/HFCs.

7) To get Rs 2.67 lakhs as a subsidy a home loan must be of 20 years tenure. Similarly, the subsidy amount will be proportionately decreased depending on if the loan is taken for a lesser period of time.

Process for buying a house under PMAY Scheme:

1) First, you book a flat and apply for a housing loan

2) Bank sanctions your loan

3) Registration of the agreement

4) Your housing finance company/bank submits the claim of the subsidy to National Housing Bank/HUDCO

5) National Housing Bank transfers the amount to your bank

6) Bank deposits the subsidy to your loan account

7) Loan reduces to the extent of the subsidy received and the reduced EMI is set.