PMAY Features and Benefits

Pradhan Mantri Awas Yojana was launched under the ‘Housing for All’ (HFA) mission in 2015. As per its Credit Linked Subsidy Scheme component, beneficiaries who opt for a home loan can avail of an interest subsidy of up to Rs. 2.67 lakh. This amount is provided to eligible beneficiaries taking housing loans for the acquisition or construction of homes, including repurchase.

PMAY 2021-22 Beneficiary

  • A beneficiary family comprises a husband, wife, unmarried sons and/ or unmarried daughters
  • An adult earning member (irrespective of marital status) can be treated as a separate household

PM Awas Yojana 2022 Key Parameters*:

 

Particulars

MIG I

MIG II

Household Income (Rs. p.a)

6,00,001-12,00,000

12,00,001-18,00,000

Eligible Housing Loan Amount for Interest Subsidy (Rs.)

Up to 9,00,000

Up to 12,00,000

Interest Subsidy (% p.a.)

4.00%

3.00%

Maximum loan tenor (in years)

20

20

Maximum dwelling unit carpet area

160 Sq. m.

200 Sq. m.

Discount Rate for Net Present Value (NPV) calculation of interest subsidy (%)

9.00%

9.00%

Max. Interest Subsidy Amount (Rs.)

2,35,068

2,30,156

Lump sum amount paid per sanctioned to PLIs in lieu of Processing Fee (Rs.) to the extent of loan amount on which subsidy is applicable

2,000

2,000

Application of scheme on existing home loans sanctioned on or after

01.01.2017

Applicability of No Pucca House

Yes

Yes

Woman Ownership/ Co-ownership

Not mandatory

Not mandatory

Quality of House/ Flat Construction

National Building Code, BIS Codes and as per NDMA Guidelines adopted

Approvals for the Building Design

Compulsory

Basic Civic Infrastructure (water, sanitation, sewerage, road, electricity etc.)

Compulsory


*The details mentioned above are based on the scheme framed by the Government of India under the Pradhan Mantri Awas Yojana (PMAY-Urban). These are subject to change as and when there is a change in the scheme by the Government of India. Benefits under this scheme can be availed only for home loan offered by Bajaj Finserv.

Please also note PMAY subsidy scheme for MIG I & II category is not extended by regulatory. Category wise scheme validity is mentioned below:

  • EWS & LIG category is valid up to 31st March 2022
  • MIG I & MIG II category was valid up to 31st March 2021

About Pradhan Mantri Awas Yojana (PMAY) - 2022

The Pradhan Mantri Awas Yojana (PMAY) scheme was launched by the Government of India to boost the affordability of houses against an inflated real estate sector. The scheme aims to achieve its objective of “Housing for All” by 31 March 2022. The year marks the 150th birth anniversary year of Mahatma Gandhi, and the scheme aims to meet this goal by constructing 20 million houses across the nation. Based on the areas that it caters to, this Yojana has two parts, Urban and Gramin.

1. Pradhan Mantri Awas Yojana – Urban (PMAY-U)

At present, the PMAY-HFA(Urban) has around 4,331 towns and cities under this scheme. It also includes urban development authority, special area development authority, industrial development authority, development area, notified planning, and every other authority which is responsible for urban planning and regulations.

The scheme has progressed in the following three phases:
Phase 1: To cover 100 cities in select states and UTs between April 2015 and March 2017.
Phase 2: To cover 200 additional cities between April 2017 and March 2019.
Phase 3: To cover the remaining cities between April 2019 and March 2022.

As per data from the Ministry of Housing and Urban Affairs, as of 1st July 2019, the progress of PMAY-U in all states and union territories is as follows:

  • Sanctioned houses: 83.63 lakh
  • Completed houses: 26.08 lakh
  • Occupied houses: 23.97 lakh

According to the same data, the total amount deemed to be invested is Rs. 4,95,838 crore out of which, Rs. 51,414.5 crore has already been released.

In the 52nd meeting of the Central Sanctioning and Monitoring Committee (CSMC) held on 20th January 2021, the Union Housing and Urban Affairs Ministry said that the construction of 1.68 lakh houses has been approved by the government of India under the Pradhan Mantri Awas Yojana Urban (PMAY-Urban) Scheme.

2. Pradhan Mantri Awas Yojana Gramin (PMAY-G)

The Pradhan Mantri Awas Yojana Gramin was formerly called the Indira Awas Yojana and was renamed in March 2016. It is targeted at promoting accessibility and affordability of housing for all of rural India with the exceptions of Delhi and Chandigarh.

The objective is to provide financial assistance to the homeless and those residing in decrepit houses to assist them in the construction of pucca houses. Beneficiaries living in the plains receive up to Rs. 1.2 lakh and those in North-Eastern, hilly areas, Integrated Action Plan (IAP), and difficult areas can avail up to Rs. 1.3 lakh owing to this housing endeavour. At present, as per data available from the Ministry of Rural Development, 1,03,01,107 houses have been sanctioned in all states and UTs.

In an attempt to boost purchases in the real estate sector, the government launched PM Awas Yojana, and the cost of this housing development will be shared between the central and state government in the following ways:

  • 60:40 for plain regions
  • 90:10 for north-eastern and hilly areas

Beneficiaries of the PMAY scheme are and will be identified as per data available from the Socio-Economic and Caste Census (SECC) and include:

  • Scheduled castes and scheduled tribes
  • Non-SC/ ST and minorities under BPL
  • Freed bonded labourers
  • Next of kin and widows of paramilitary forces and individuals killed in action, ex-servicemen, and those under a retirement scheme

Components of the PM Awas Yojana 2022

There are four primary components of this scheme:

  • Credit Linked Subsidy Scheme (CLSS)*

    CLSS provides subsidies on the home loan interest payable to those eligible for this scheme. The PMAY subsidy rate, subsidy amount, maximum loan amount, and other details are listed in the table below:

 

EWS

LIG

Maximum home loan amount

Up to Rs. 3 lakh

Rs. 3 - 6 lakh

Interest subsidy

6.50%*

6.50%*

Maximum interest subsidy amount

Rs. 2,67,280

Rs. 2,67,280

Maximum carpet area

30 sq. m.

60 sq. m.

 

 

MIG I

MIG II

Maximum home loan amount

Rs. 6 - 12 lakh

Rs. 12 - 18 lakh

Interest subsidy

4.00%

3.00%

Maximum interest subsidy amount

Rs. 2,35,068

Rs. 2,30,156

Maximum carpet area

160 sq. m.

200 sq. m.


Home loans under the CLSS have a maximum tenor of 20 years. NPV or the net present value is evaluated at a discounted rate of 9% of the interest subsidy

  • "In-situ" slum redevelopment (ISSR) using land as a resource

The scheme aims to rehabilitate slums with land as a resource in association with private organisations to provide houses to families living in such areas. The Central Government determines the prices of the houses, and the beneficiary contribution (if any) is decided by the respective state or UT.

  • Affordable Housing in Partnership (AHP)

Affordable Housing in Partnership (AHP) provides financial assistance to the tune of Rs. 1.5 lakh on behalf of the Central Government to EWS families for the purchase of houses. State and UTs can partner with their agencies or private sector to develop such housing projects.

  • Individual house construction or enhancement led by beneficiaries

This component of PM Awas Yojana targets EWS families who cannot avail the benefits of the previous three components. Such beneficiaries will avail financial assistance from the Central Government of up to Rs. 1.5 lakh that can be used to fund the construction of a house or enhancing an existing one.

Disclaimer:

PMAY subsidy scheme for MIG I & II category is not extended by regulatory body. Category wise scheme validity is mentioned below:

  • EWS & LIG category is valid up to 31st March 2022
  • MIG I & MIG II category was valid up to 31st March 2021

PMAY frequently asked questions

What is PMAY-HFA(Urban)?

Pradhan Mantri Awas Yojana – Urban (PMAY-U), As the name suggests, this scheme focuses on providing low-cost, pucca homes to the poor in urban locations across India. The PMAY-U scheme has the same aim as the PMAY scheme – to provide housing for all (HFA) by 2022.

What is a PMAY subsidy?

PMAY, or the PM Awas Yojana, is a government scheme that focuses on providing housing for all by 2022. The PMAY scheme provides an interest subsidy of up to 6.5% on home loans through four ELSS categories – EWS, LIG, MIG I, and MIG II.

Who is eligible for the Pradhan Manti Awas Yojana?

The following are the PMAY Eligibility criteria for individuals and families:

Income Group

PMAY ELigibility Criteria

Economically Weaker Section (EWS):

Families with an annual income up to Rs. 3 lakh.

Low Income Group (LIG):

Families with an annual income between Rs. 3 lakh and Rs. 6 lakh.

Middle Income Group I (MIG I):

Families within an annual income between Rs. 6 lakh and Rs. 12 lakh.

Middle Income Group II (MIG II):

Families with an annual income between Rs. 6 lakh and Rs. 12 lakh.

This includes women belonging to EWS and LIG categories as well as Scheduled Caste (SC), Scheduled Tribe (ST), and Other Backward Class (OBC).

In addition to the above, applicants must also meet the following criteria:

  • Applicants must not own a house in any part of the country
  • Applicants should not have availed benefits of any other housing scheme offered by the State or Central Government
How can I apply for the PMAY scheme 2021-22?

You can apply for PMAY:

  • Online
    You can visit the official website to apply online using a valid Aadhaar Card
     
  • Offline
    Apply offline by filling up a form available at a Common Service Centre (CSC). You must pay Rs. 25 + GST for the form.
How can I check my name in the PMAY 2022 beneficiary list?

Those eligible for the scheme can check their name in the Pradhan Mantri Awas Yojana list by following these few steps:

  • Visit the official website
  • Click ‘Search Beneficiary’
  • Enter the Aadhaar number
  • Click ‘Show’.
Is PM Awas Yojana available to existing home loan borrowers?

Existing home loan borrowers are eligible for this scheme provided they fulfill all the relevant eligibility criteria.

The PM Awas Yojana has played a significant role in providing affordable housing. The role of this scheme is not limited to making housing accessible and affordable to all. It has also created ample job opportunities in the real estate sector. This scheme, along with the inclusion of RERA, led to the creation of about 6.07 crore jobs across the nation.

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