PM Awas Yojana Subsidy Scheme to Cover More Homebuyers

December 5, 2017 | Last Modified: December 5, 2017 at 3:34 pm

Pradhan Mantri Awas Yojana subsidy scheme is benefits the people in buying a home at affordable rate. And now the government is going to increase the cover areas of PMAY subsidy scheme. The government is planning to include all the development authorities ( In Villages, industrial, commercial and coastal area) to benefit more homebuyers through PMAY Subsidy Scheme.

New guidelines to broaden the cover of PM Awas Yojana subsidy scheme will be released by the government for all development authorities. The interest subsidy is available only for buying the first house in urban areas. Sources said the changes are being made following reports of some of the banks not approving loan applications under interest subsidy scheme in certain areas in urban localities.

For example, a couple of private banks were turning down such applications under interest subsidy scheme for properties in about 100 cities and towns, including Noida.

The source informed that there have been instances when banks have raised questions about the agency or authority issuing approvals for housing projects other than the notified development authorities. Since the intention is to extend the benefit to maximum people, work is in progress to modify the guidelines that will benefit more and bring more clarity. But the projects to be qualified for this will need to get the requisite approvals.

All state govt and private players are looting people, middle class cannot dream to buy or build house.

Though in July the housing ministry had modified the guidelines to extend the interest subsidy scheme to more houses falling under area notified by development authorities such as Noida or Greater Noida, the problem still persists. Earlier only statutory towns under Census 2011 and towns notified by the state governments were eligible for coverage under PMAY.

Under Pradhan Mantri Awas Yojana Subsidy Scheme, the government is providing an interest subsidy of 4% on the loan amount of Rs. 6 to the people whose annual earning is in between Rs 6 lakh and Rs 12 lakh. Similarly, those with annul income of Rs 12 lakh to Rs 18 lakh are eligible for 3% interest subsidy for loan amount of Rs 12 lakh.