Understand Everything You Want to Know About PMAY Scheme Guide to PMAY Scheme

The Pradhan Mantri Awas Yojana is a significant initiative pioneered by the Indian government, ensuring “Housing for All” by 2022. Manifested with the intent to provide affordable housing options to India’s economically weaker sections, there is much about the PMAY scheme that needs to be recognized and comprehended.

Categories of Beneficiaries

Beneficiaries under this scheme are divided into three categories — Economically Weaker section, Low-Income Group, and Medium Income Group. The PMAY scheme claims to provide a hefty interest subsidy on home loans, enabling beneficiaries to build or purchase houses. In this context, amalgamating all you need to know about PMAY is indispensable.

PMAY Scheme Divisions

The scheme is categorized into two parts, PMAY Urban (PMAY-U) and PMAY Gramin (PMAY-G), each encompassing unique features and subsidy calculations. A significant feature of PMAY-U incorporates four verticals — In-Situ Slum Redevelopment, Affordable Housing in Partnership, Credit Linked Subsidy Scheme and Beneficiary Led individual House Construction.

Eligibility Criteria

Regardless of which division you fall into, understanding the eligibility criteria is crucial. For example, to be eligible for PMAY, the beneficiary and his/her family should not own a pucca house anywhere in India and must not have availed of any central assistance under any housing scheme from the Government of India.

Interest Subsidy Provision

Additionally, the stellar feature of the PMAY scheme is the provision of interest subsidy. It is inherently a discount offered on the Original Interest which immensely aids applicants as it significantly lowers their Equated Monthly Installments (EMI).

Benefits for Aspiring Homeowners

Aspiring homeowners can now capitalize on lower interest rates and subsidy benefits under the PMAY. As comprehensive as it is transformative, the PMAY scheme has made the dream of owning a house a tangibly affordable reality for millions of Indians. Hence, a complete understanding of the PMAY scheme is integral for prospective home buyers.