The Pradhan Mantri Awas Yojana (PMAY) is a central government initiative aiming to boost home buying in India. Launched on 25 June 2015, the scheme intends to achieve ‘Housing for All’, providing pucca houses to beneficiaries by 2022.
In addition, a Credit Linked Subsidy Scheme (CLSS) under PMAY provides interest subsidies on loans taken for purchase, renovation, construction or improvement of a home. This reduces the financial burden of home loans for the economically challenged portion of the country’s population.
Beneficiaries of this scheme can use a PMAY eligibility calculator to know how much subsidy amount they can get. It also provides a quick and efficient calculation of the total number of payable EMIs based on one’s annual income.
The PMAY calculator is an online financial tool that estimates the interest subsidy that you can get on loans taken to buy affordable houses. Having a simplified interface, it allows anyone to select the right PMAY category and estimate overall interest savings.
You will need to enter the following details on the PMAY eligibility calculator.
Based on these factors, you can know your subsidy category and how much interest subsidy you may be eligible for. You can also use a housing loan eligibility calculator alongside this tool to figure out how much savings you can make from PMAY.
The PMAY scheme aims to provide affordable housing to eligible beneficiaries. All applicants are classed into the following groups based on their need for financial assistance.
Economically Weaker Section (EWS)
Applicants with an annual household income of less than Rs. 3 lakhs fall under the EWS category. However, they will have to furnish relevant proof of their income to claim benefits from PMAY.
Lower Income Group (LIG)
This includes those who have an annual household income ranging from Rs. 3 to 6 lakhs. People belonging to LIG and EWS can get a 6.5% subsidy on the home loan interest rate to a maximum of Rs. 2.67 lakhs.
Medium Income Group-I (MIG-I)
People having an annual household income between Rs. 6 to 12 lakhs fall under this category. They can get a home loan interest subsidy at 4% p.a up to a maximum of Rs. 2.35 lakhs.
Medium Income Group-II (MIG-II)
If the annual income of one’s household is between Rs. 12 to 18 lakhs, they fall in the MIG-II category. These people can get home loan interest subsidies at 4% up to Rs. 2.3 lakhs.
Minorities
People from minority groups like SC, ST and OBC can apply for PMAY.
Women
Women who belong to EWS/LIG categories are also eligible for benefits under PMAY.
Also read: Home Loans For Women
Follow the given steps to apply for an interest subsidy under PMAY.
Also read: Home Loan Eligibility For The Salaried
The PMAY eligibility calculator tells you if you can apply for the central government housing scheme. It tells you the interest subsidy amount and what category you can apply for. With it, you can plan your finances in advance to avoid financial stress in the future.
Ans: You can apply for PM Awas Yojana via the official PMAY portal. Simply login/register on the portal using your Aadhaar number and fill out the application form.
Ans: No. PMAY subsidies are only available for the purchase or construction of a new home or improvement of an existing home.
Ans: People in EWS can get a subsidy for a carpet area of 30 square meters, while for LIG, it is 60 sq mt. MIG-I applicants can get up to 160 sq mt covered, and people in MIG-II can get up to 200 sq mt covered.
Ans: There are four main components of the PMAY:
ISSR (In-situ Slum Redevelopment
CLSS (Credit Linked Subsidy Scheme)
AHP (Affordable Housing in Partnership)
BLC-N/E (Beneficiary-led Individual House Construction/Enhancement)
Ans: No. Beneficiaries can apply for only one component of PMAY.
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