Details and Descriptions of Pradhan Mantri Awas Yojana PMAY
Pradhan Mantri Awas Yojana (PMAY) is an ambitious project of the Government of India, which aims at providing affordable housing to the urban poor by the year 2022. The flagship mission, PMAY, implemented by the Ministry of Housing and Urban Affairs (MoHUA), was launched in June 2015. PMAY aims to provide affordable housing options to all eligible urban and rural households by 2022. Initially, when the PMAY scheme was launched it aimed to benefit only the Economically Weaker Section (EWS), but now the PMAY list includes Middle-Income Groups (MIGs) and Low-Income Groups (LIGs) as well.
Under the PMAY list, the government aims to provide housing benefits to all citizens through multiple schemes: Credit Linked Subsidy Scheme (CLSS), Partnered Affordable Housing, rehabilitating the slum dwellers, and assist with individual house construction or enhancement are all targets under the PMAY. These schemes aim to provide financial loan assistance to lower and middle-income groups to help them buy under-construction properties or construct their own property. The PMAY eligibility criteria along with PMAY subsidy status is briefly explained below.
What is PMAY Eligibility?
PMAY eligibility criterion is bound to the annual household income. You can be a beneficiary of PMAY if you or your family member do not own a pucca house in your name in any part of India. The government plans to use the socio-economic and Caste Census of 2011 to list out the beneficiaries of PMAY for the lower economic groups. Women are given a special subsidy bonus, especially those women who belong to the EWS and LIGs group.
For availing CLSS, the PMAY eligibility criteria for EWS and LIGS correspond to the annual income, which should not be more than Rs.6 lakh and within the bracket Rs.3 to Rs.6 lakh per annum. The middle-income groups are further classified as MIG(I) and MIG(II) per their annual income bracket. MIG(I) and MIG(II) can avail of a subsidy for the maximum loan amount of Rs.9 lakh and Rs.12 lakh, respectively, provided their annual income is in the bracket range of Rs.6 to Rs.12 lakh for the former and Rs.12 to Rs.18 lakh for the latter.
| PMAY Economic section | Annual income Cap (Rs) | Interest Subsidy PMAY eligibility criteria | Maximum amount of subsidised interest (Rs) | Maximum Loan Amount (Rs) | Carpet Area (sqm) |
| EWS | up to 3 lakh | 6.5% | 2.60 lakh | 6 lakh | 30 |
| LIGs | 3-6 lakh | 6.5% | 2.67 lakh | 6 lakh | 60 |
| MIG(I) | 6-12 lakh | 4 % | 2.35 lakh | 9 lakh | 160 |
| MIG(II) | 12-18 lakh | 3% | 2.30 lakh | 12 lakh | 200 |
Details and Descriptions of Pradhan Mantri Awas Yojana PMAY
Pradhan Mantri Awas Yojana (PMAY) is an ambitious project of the Government of India, which aims at providing affordable housing to the urban poor by the year 2022. The flagship mission, PMAY, implemented by the Ministry of Housing and Urban Affairs (MoHUA), was launched in June 2015. PMAY aims to provide pucca affordable housing options to all eligible urban and rural households by 2022. Initially, when the PMAY scheme was launched it aimed to benefit only the Economically Weaker Section (EWS), but now the PMAY list includes Middle-Income Groups (MIGs) and Low-Income Groups (LIGs) as well.
Under the PMAY list, the government aims to provide housing benefits to all citizens through multiple schemes: Credit Linked Subsidy Scheme (CLSS), Partnered Affordable Housing, rehabilitating the slum dwellers, and assist with individual house construction or enhancement are all targets under the PMAY. These schemes aim to provide financial loan assistance to lower and middle-income groups to help them buy under-construction properties or construct their own property. The PMAY eligibility criteria along with PMAY subsidy status is briefly explained below.
What is PMAY Eligibility?
PMAY eligibility criterion is bound to the annual household income. You can be a beneficiary of PMAY if you or your family member do not own a pucca house in your name in any part of India. The government plans to use the socio-economic and Caste Census of 2011 to list out the beneficiaries of PMAY for the lower economic groups. Women are given a special subsidy bonus, especially those women who belong to the EWS and LIGs group.
For availing CLSS, the PMAY eligibility criteria for EWS and LIGS correspond to the annual income, which should not be more than Rs.6 lakh and within the bracket Rs.3 to Rs.6 lakh per annum. The middle-income groups are further classified as MIG(I) and MIG(II) per their annual income bracket. MIG(I) and MIG(II) can avail of a subsidy for the maximum loan amount of Rs.9 lakh and Rs.12 lakh, respectively, provided their annual income is in the bracket range of Rs.6 to Rs.12 lakh for the former and Rs.12 to Rs.18 lakh for the latter.
Types of PMAY Scheme
There are two types of schemes under PMAY, as per the area of housing property.
Pradhan Mantri Awas Yojana Gramin (PMAY-G) aims to provide housing benefits to rural India. PMAY-G was rechristened from Indira Awas Yojana in 2016. All rural areas across India, except for those located in Delhi and Chandigarh, are listed under the scheme “Housing for All”. The beneficiary for this project must belong to EWS, LIGs or Below Poverty Line (BPL).
Pradhan Mantri Awas Yojana Urban, (PMAY-U), also aims to provide housing facilities to all eligible citizens residing in urban areas. Over 4000 towns across India are enlisted in this project, which will aim to provide housing facilities in three different phases.
The first phase began in April 2015 and ended in March 2017. During this period, the scheme covered affordable housing in 100 cities. In the second phase, it covered around 200 cities by March 2019. The housing facilities for the remaining cities will be covered in Phase 3, which aims to end by March 2022.
PMAY Subsidy Status
You can avail of PMAY subsidy status as per your income bracket. In the EWS category, the beneficiary can claim an interest subsidy up to 6.5%, amounting to Rs 2.60 lakh for a maximum loan amount of Rs.6 lakh. The LIGs are also subjected to a 6.5% interest subsidy, with the annual income bracket capped at Rs.3 to Rs.6 lakh rupees.
The Middle-Income Groups are eligible for 4% and 3% interest subsidy across two categories – MIG(I), which includes those in the income bracket Rs.6 to Rs.12 lakh and MIG(II), which includes those in the income bracket Rs.12 to Rs.18 lakh, respectively. The subsidy provided over the loan amount for MIG(I) and MIG(II) cannot exceed Rs.2.35 lakh and Rs.2.30 lakh, respectively.
PMAY Benefits
Individuals belonging to the above categories can avail of the benefits of PMAY while availing of a loan for constructing their house on their plot of land or buying a house from a builder or secondary market through repurchase. The benefits of PMAY can also be used for enhancement of existing pucca house after the officials’ survey for clearance and assessing eligibility for the same. Under this scheme, the ground floor of any housing society is reserved for senior citizens and differently-abled people.
Further, borrowers and beneficiaries of the PMAY scheme must understand that all housing construction is to be done using eco-friendly and sustainable resources and technology. The target of completing the project of ‘Housing for All’ is March 2022.
