Pradhan Mantri Awas Yojana

Pradhan Mantri Awas Yojana is a renowned government scheme that was launched in 2015 with the Housing For All (HFA) mission in India. The major purpose of this scheme is to provide stable houses with toilet facilities and water connections to eligible beneficiaries by the end of March 2022. Read on to find out all about it. 

PMAY

The Pradhan Mantri Awas Yojana scheme was announced by the honourable Prime Minister Shri Narendra Modi with the vision of providing housing for all eligible families. 

The main objective of this scheme is to help the less privileged families in India and provide them with stable housing systems to improve their lifestyles. It is intended to provide all the necessities to the families and help them to have a hygienic and content lifestyle. 

With the help of this scheme, urban migrants and those who reside in the country’s rural areas can improve the quality of their lifestyle and get access to dignified rental houses close to where they work. It encourages them to work with a content mind and promotes a dignified and hygienic lifestyle.

What is PM Awas Yojana?

The PM Awas Yojana is a scheme introduced by the Prime Minister of India in 2015. It is intended to help the less privileged section of the country to have a dignified and hygienic lifestyle.

The scheme’s main objective is to help a big part of the country have a dignified lifestyle that will eventually help in the growth of the country in general from a socio-economic perspective.

PMAY aims to provide water connectivity, proper toilets, and other essentials to those in need. Eligible families can avail of this scheme and can improve their lifestyle rapidly. 

PMAY Scheme in Detail

The PM Awas Yojana was introduced first on 25th June 2015. The main objective of the scheme is to provide several basic and essential necessities to eligible applicants by 31st March 2022. 

The PMAY scheme is an initiative that comes under the Housing For All mission (HAF) that was introduced by the Ministry of India in 2015 with the objective of eradicating poverty and improving the overall economy of the country.

The aim of the scheme is to Establish affordable houses in both the rural and the urban spaces of India. Those who belong to the economically weaker zones in the country and have comparatively lower incomes can make the best out of this scheme to drastically change their lifestyles.

Prime Minister Awas Yojana addresses one of the major issues in India- the shortage of pucca houses in rural and urban spaces. Several sub-schemes have evolved as parts of the mean scheme- Affordable Rental Housing Complexes (ARHCS), Global Housing Technology Challenge, and CLSS Awas Portal. The scheme has two major sections- 

  1. Pradhan Mantri Awas Yojana Gramin, (PMAY-G)- Aims at providing affordable houses to those residing in the rural areas of India.
  2. Pradhan Mantri Awas Yojana Urban (PMAY-U)- It is intended for those who live in the urban site and come from less privileged families and have low incomes.

Several banks offer The PMAY scheme in India, including SBI, ICICI Bank, Kotak Mahindra Bank, HDFC Bank, Axis Bank, Yes Bank, Bank of Baroda, Federal Bank, Karnataka Bank Ltd, Bajaj Housing Finance Ltd, to name a few.

Also Check - SBI Bank offers Home Loan at Lowest Interest Rate

Purpose of PMAY Scheme

Prime Minister Awas Yojana scheme directly addresses the housing shortage issue in India and aims at improving the situation for the better in the long run. 

  • The major purpose is to build houses at affordable rates with toilets, water supplies, and other necessities to help the less privileged families to improve their way of life.
  • No limit on the home loan amount and the property cost is implemented by the government to encourage the less privileged section of the country to dream bigger and improve their lifestyles in the future.
  • Those who intend to extend the size of their houses can also do so after consulting and getting approval from the Ministry of India.
  • Another purpose of the scheme is to encourage women to be homeowners or co-applicants in both rural and urban areas in the country.

Along with improving housing systems for Indian citizens, the PMAY scheme contributes to the overall development of the country from an economic point of view.

Also Read - Unlock the Door of Your Dream Home with PMAY

Benefits of Prime Minister Awas Yojna

The Ministry of India offers several benefits to the citizens of India with the help of the PMAY scheme.

Some of the major benefits include:

  • The scheme directly targets poverty and slum rehabilitation, and to improve the economic growth of the country, houses at affordable interest rates are offered to the less privileged sections.
  • The home loan scheme allows the eligible urban and rural section- members of the Economically Weaker Section (EWS), Low Income Group (LIG), Middle Income Group- I (MIG- I), Middle Income Group-II (MIG II), to apply for the loan.
  • The government grants up to 1 lakh per house in India when it comes to slum rehabilitation.
  • Central assistance of up to 1.5 lakh is granted by the government when it comes to affordable housing. 
  • Interest subsidy goes up to 6.5% for a home loan.
  • Women are encouraged to be homeowners and co-applicants with the help of the Pradhan Mantri Awas Yojana Scheme.
  • By taking approval from the government, the building of the houses can take place immediately after the Pradhan Mantri Awas Yojana Home Loan is granted.
  • Water connection and toilets are provided in the housing systems to the citizens of the country.

Also Read - 10 Important FAQs About Pradhan Mantri Awas Yojana

Pradhan Mantri Awas Yojana Eligibility

Make sure you check the eligibility criteria thoroughly if you intend to apply for this loan soon.

  • In order to be eligible for the Pradhan Mantri Awas Yojana scheme, beneficiaries should not own a pucca house in any part of the country. 
  • Even if the applicant has co-applicants who own pucca houses in any part of the country, they are not eligible to apply for this loan.
  • Only those who belong to the Economically Weaker Section (EWS), Low Income Group (LIG), Middle Income Group- I (MIG- I), Middle Income Group-II (MIG II) sections are eligible for this scheme.
  • For married couples, individuals and joint ownership are allowed.
  • The property that you buy with the scheme has to have amenities including sanitation, water, electricity, sewerage, roads, and other basic necessities.
  • Beneficiaries must have valid Aadhaar cards to be able to apply for this loan successfully.
  • Those who avail of the subsidy and decide to switch to another lender during the tenure cannot claim any benefits in the future.
  • In the case of a home loan balance transfer, only the loans that have been availed on or after January 1, 2017, can be transferred to another lender during the tenure.

Also Check - Eligibility Criteria for Home Loan

Documents Required for PMAY Scheme

The major documents that one must keep while applying for the Pradhan Mantri Awas Yojana scheme include:

  • Proof of identity – voter card, Aadhaar card, PAN card, passport, driving license (anyone).
  • Having a PAN card is mandatory when it comes to applying for the scheme.
  • Proof of address – Aadhar card, voter card, property tax documents, life insurance policy documents, etc.
  • Proof of income – bank statements for the last six months, salary slips of the last two months.
  • Property documents- rent agreement on stamp papers, sales agreement, property registration certificates, copy of payment receipts of the builder (if required).
  • For self-employed people, factory/firm establishment certificates, sales tax receipts and other documents confirming the existence of the workplace need to be submitted.

Also Read - Documents Required for Home Loan

PMAY Beneficiaries

Those who can be beneficiaries of the PMAY scheme are:

  • A family that includes a wife, a husband, sons and daughters who are not married
  • Someone who is the single owner in a family can be considered to be a PMAY beneficiary irrespective of their marital status. However, if they already own a pucca house, they are not eligible to apply for the loan.
  • Those who are members of the Economically Weaker Section (EWS) - who earn less than 3 lakh per year.
  • Those who earn around 3 lakh to 6 lakh per year come under the Low Income Group (LIG).
  • Families that earn around 6 lakh to 12 lakh come under Middle Income Group-I (MIG- I).
  • Families that earn up to 12 lakh to 18 lakh come under the Middle Income Group-II (MIG- II).
  • Women who fall under the LIG and EWS income groups
  • Marginalized castes such as SC, ST, and OBC are eligible to apply for the loan.

Different Schemes Under PMAY

There are two different schemes that come under the Pradhan Mantri Awas Yojana scheme in India- 

  1. Pradhan Mantri Awas Yojana Urban

The urban space comprises around 4000+ cities across the country. The PMAY Yojana aims at developing houses across all the urban centres in terms of industrial development, special area development, and housing development with basic necessities. The aim of the first phase is to cover 100 cities by April 2015 and March 2017. The aim of the second phase is to cover 200 cities between April 2017 to March 2019. The focus of the 3rd phase is to cover the remaining cities by March 2022.

        2. Pradhan Mantri Awas Yojana Rural

The PMAY scheme also aims at covering the slums, villages and rural areas of the country. Its primary objective is to assist the less privileged families in the rural areas to acquire basic amenities such as sanitation, power supply, water connectivity and improve their lifestyles.

Pradhan Mantri Awas Yojana Subsidy

Take a look at the Pradhan Mantri Awas Yojana subsidy loan amount, and rates to acquire a better understanding of the scheme.

ParticularsMIG- IIMIG- ILIGEWS
Household income12lakh to 18 lakh6 lakh to 12 lakh3 lakh to 6 lakhup to 3 lakh
Maximum subsidyRs.2,30156Rs.2, 35068Rs.2,67280Rs.2, 67280
Maximum loan tenure20 years20 years20 years20 years
Interest subsidy3.00%4.00%6.50%6.50%
Maximum carpet area200 sq.m.160 sq.m.60 sq.m.30sq.m.
The eligible loan amount for calculationUp to 12 lakhup to 9 lakhup to 6 lakhUp to 6 lakh

PMAY FAQs

✅How to apply for Pradhan Mantri Awas Yojana Gramin Online?

Visit the PM Awas Yojana official website- http://pmaymis.gov.in/  and go to the ‘citizen assessment menu’. Enter your Aadhaar card number and your full name properly. Enter other personal information and your bank account details and tick in the box at the bottom of the screen. Enter the captcha and save your application. Your application number will appear on the screen afterwards. Download and print the form and submit it to your nearest financial Institute/bank along with the necessary documents.

✅How to check your name in the PMAY beneficiary list?

Go to the official website of Pradhan Mantri Awas Yojana and click on the 'select beneficiary’ option. After that, you will get an option to search by name. Enter your Aadhar number properly, and the details will pop up on the screen immediately.

✅Is the PMAY scheme available to existing home loan borrowers?

No. Those who intend to buy a home for the first time are eligible to apply for the PMAY scheme in India.

✅Is the PMAY scheme also applicable for Home Loan Balance Transfer?

Yes, you can transfer your home loan to another lender during the tenure. In that case, the PMAY scheme benefits will no longer be available for you.

✅How to claim a PMAY subsidy?

First, check your income threshold to understand which income group you fall under. You can use an online EMI calculator to determine your monthly instalments beforehand. Next, fill out the PMAY application form online. Take the printout of the phone to your nearest bank to claim a subsidy.

✅Can I get a PMAY subsidy on an existing home loan?

Those who intend to buy a house for the first time are eligible to apply for the Prime Minister Awas Yojana scheme in India. However, if you already have an existing home loan, it is not eligible to apply for the scheme as per the policies.

✅Where do I complain if the PMAY subsidy is not received?

Reach out to their helpline numbers for all your queries- 1800113377, 1800113388, 1800116163. You can also send an email at grievance-pmay@gov.in for further assistance.

✅Is the PMAY scheme extended till 2022?

The objective of the PMAY scheme is to cover all the rural and urban areas of India by 31 March 2022.