Pradhan Mantri Awas Yojana
About the Mission:
Pradhan Mantri Awas Yojana (Urban) Mission launched on 25th June 2015 which intends to provide housing for all in urban areas by year 2022. The Mission provides Central Assistance to the implementing agencies through States/Union Territories (UTs) and Central Nodal Agencies (CNAs) for providing houses to all eligible families/ beneficiaries against the validated demand for houses for about 1.12 cr. As per PMAY(U) guidelines, the size of a house for Economically Weaker Section (EWS) could be upto 30 sq. mt. carpet area, however States/UTs have the flexibility to enhance the size of houses in consultation and approval of the Ministry.
The scheme
The features of Pradhan Mantri Awas Yojana are that the government will provide an interest subsidy of 6.5% (for EWS and LIG), 4% for MIG-I and 3% for MIG-II on housing loans availed by the beneficiaries for a period of 20 years under credit link subsidy scheme (CLSS) from the start of a loan. The houses under Pradhan Mantri Awas Yojana would be constructed through a technology that is eco-friendly, while allotting ground floors in any housing scheme under PMAY, preference will be given to differently abled and older persons.
Finance
The government has approved an investment of ₹439.22 billion (US$6.2 billion) for construction of 6,83,724 houses for urban poor including central assistance commitment of ₹100.50 billion (US$1.4 billion) by April 2016
Eligibility criteria
Condition for PMAY:
- Beneficiary max age 70 years,
- EWS (Economic Weaker Section) family income limit is ₹3 Lakhs per annum and for LIG (Lower Income Group)
- Family Income limit is ₹ 6 Lakhs per annum, and Middle Income Group -(MIG-I) income between ₹ 6 lakhs to ₹12 lakhs per annum, (MIG-II) income between ₹ 12 lakhs to ₹ 18 lakhs per annum
- The beneficiary should not have an own dwelling unit on the name of any family member in any part of India.
- The loan applicant should not have availed any central/state government subsidy or benefit for buying a home under the PMAY scheme.
- Currently, the loan applicant should not own any property under their name and along with any of the family members (including the dependents).
- The home renovation or improvement loans, self-construction loans will be allocated only for EWS and LIG categories.
The houses given under this scheme will be owned by females or jointly with males.
Phases
3 Phases of PMAY envisage starting and completing the house construction work as follows:
- PMAY Phase-1 from April 2015 to March 2017 to cover 100 cities.
- PMAY Phase-2 from April 2017 to March 2019 to cover additional 200 cities.
- PMAY Phase-3 from April 2019 to March 2022 to cover the remaining cities.
States and cities covered
As of 25 April 2016, the government has identified 2,508 cities and towns in 26 states for beginning construction of houses for urban poor. Construction of 1,86,777 additional houses for the benefit of urban poor with an investment of ₹11,169 cr with central assistance of ₹ 2,797 cr was approved in February 2018, taking the cumulative total houses approved to 39,25,240 houses including subsumed RAY scheme, of the targeted 10 million houses by March 2022.
