PMAY Scheme: Benefits & Application Procedure
The Pradhan Mantri Awas Yojana is a flagship programme initiated by the Indian Government to provide “Housing for All”. Under this scheme, the Centre has, till date, sanctioned nearly 112.5 lakh residential projects and completed roughly 48.2 lakh houses.
The primary feature of this scheme is that the government will provide a subsidised interest rate of 6.5% (EWS and LIG), 4% for MIG-I and 3% for MIG-II on home loans availed by the eligible beneficiaries under the Credit-linked Subsidy Scheme.
The houses constructed under this project would follow an eco-friendly technology. While allocating rooms under this scheme, special priority will be given to senior citizens and differently-abled persons. Though the scheme aims to provide housing for all, one should meet specific PMAY eligibility criteria before availing the benefits.
Now, if prospective applicants are qualified for the scheme and do not know how to apply for it, here are the steps involved in the Pradhan Mantri Awas Yojana application procedure:
- Individuals need to visit the “Citizen Assessment” section and select their category under which they wish to apply
- Fill out the application form with relevant details such as Aadhaar details and other relevant pieces of information, and enter the captcha code to save it.
If borrowers want, they can save this application for future reference and check their approval status to apply for a home loan.
To avail the exclusive benefits of this “housing for all” scheme, eligibility criteria are explicitly explained for the LIG, EWS, MIG I and II:
- An applicant or any family member shouldn’t possess a brick-and-mortar house in any parts of the country in their name or any other family member’s name.
- Adult female membership is compulsory in the ownership application
- According to 2011 census, the location of property should not fall under statutory towns and their adjoining areas.
- An applicant should not have received central assistance regarding any housing scheme from the government before.
However, individuals need to provide necessary documents to authenticate their eligibility and know how PMAY eases your way of becoming a homeowner.
Though PMAY eligibility criteria are stringent, the scheme is also loaded with a host of benefits and features, and they are broadly discussed below:
- One of the most significant benefits of this scheme is to provide a subsidised interest rate on home loans. The subsidy depends on the income status of the applicant. The specific income groups are — LIG, EWS, and MIG I-II.
- Individuals who fall under EWS/LIG category can avail up to 6.5% subsidy on loans of Rs.6 lakh. For those who belong to MIG I-II, interest rate is subsidised by 4% and 3% on loan amounts of Rs.9 and 12 lakh, respectively.
Hence, individuals must fulfil the PMAY eligibility criteria to secure subsidy interest and other benefits of Pradhan Mantri Awas Yojana for a house renovation or construction.
In case an individual does not qualify for PMAY benefits, they can also consider looking for pre-approved offers that certain financial institutions extend to simplify and expedite the loan application process. Such offers are available on several financial products such as home loans, loans against property, and more. Applicants can check their pre-approved offer by submitting their name and contact details.
The easy availability of such financing options can be a redeeming point for those who do not qualify the PMAY eligibility criteria and fund their new house purchases.