Pradhan Mantri Awas Yojana, Buying a Home, Dream Come True
Pradhan Mantri Awas Yojana: To make things easier, the Indian government has introduced the Pradhan Mantri Awas Yojana (PMAY) under the Credit Linked Subsidy Scheme (CLSS), which aims at ‘Housing for all by 2022’.
This particular scheme is specifically designed to offer affordable housing loans for MIG (Middle Income Group), LIG (Low Income Group) and EWS (Economically Weaker Section). Any household that does not have a pucca residential house in this country can avail a home loan under the Pradhan Mantri Awas Yojana to buy a dream house.
Facts about Pradhan Mantri Awas Yojana
- The maximum term that can be availed under the Pradhan Mantri Awas Yojana never extends beyond 60 years or the retirement age. The loan term for self-employed people can go up to 70 years of age. The tenure of the home loan can range between 1 year and 30 years.
- There is no cap on the amount of loan offered by most of the banks. Some banks, however, have a maximum limit defined for each of the categories – EWS, LIG, and MIG 1 and 2.
- For LIG and EWS, the maximum household income can be up to Rs.6 lakh. The interest subsidy that can be availed by these 2 groups is 6.50%.
- The household income for MIG 1 can range between Rs.6 lakh and Rs.12 lakh, and the household income for MIG 2 can range between Rs.12 lakh and Rs.18 lakh. The interest subsidy that can be availed by MIG1 and MIG2 are 4% and 3%, respectively.
Easy repayments – There are two options that you may choose to repay your home loan debt:
- PDCs or post-dated cheques that are drawn on your salary account and savings account.
- Electronic Clearing Service or ECS based on the instructions given to the bank.
Eligibility Criteria for Pradhan Mantri Awas Yojana
- The applicant/applicants must be first-time home purchasers and should be the ones using the property. The applicant of the loan should not have opted for any state government or central government subsidy for housing under the Pradhan Mantri Awas Yojana.
- Individuals belonging to the Middle Income Group cannot avail loan under this scheme for renovation or improvement purchases.
- The property being purchased should be located in an urban area.
- The individual applicant of the housing loan must not own any other property under his/her name or jointly with any other family member/dependant. More Info Click Here.
Subsidy: The maximum subsidy that can be availed by Economically Weaker Section is Rs.2.67 lakh. Individuals who are part of MIG1 and MIG2 can avail maximum subsidy of Rs.2.35 lakh and Rs.2.30 lakh, respectively.
Documents Required for Pradhan Mantri Awas Yojana
- Photograph and KYC documents for all the applicants.
- IT returns along with past 2 years’ bank statement for self-employed applicants.
- Salary slip and updated bank statements for all the salaried applicants.
- Proof of income. More Info Click Here.
Source Link- http://www.hindustantimes.com/brand-stories/dream-come-true-buying-a-house-has-just-become-easier/story-F6oAgdIAqfzKN1X8XiwUpI.html