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Have You Asked Yourself These Questions About Pradhan Mantrri Awas Yojana?

18 Nov 2019 5 min read
Home Loan: Have You Asked Yourself These Questions About Pradhan Mantrri Awas Yojana?

1. Who can avail Pradhan Mantri Awas Yojana Credit Linked Subsidy Scheme?

  • A recipient family
  • Provided that he/she doesn't possess a pucca house (an all-climate abiding unit) in his/her name in any part of India
  • Provided likewise that on account of a married couple, both of the spouse or both together in joint proprietorship will be qualified for a single house, subject to salary eligibility of the family unit under the Scheme

2. What constitutes a household/beneficiary family?

A beneficiary family comprises husband, wife, unmarried sons and/or unmarried daughters.

3. What are the income rules for various categories?

  • For EWS Category: annual income up to Rs. 3.00 lakh
  • For LIG Group:  yearly income up to Rs. 300001 lakh to Rs. 600000 lakh
  • For MIG - I: annual income up to Rs. 600001 lakh to Rs. 1200000 lakh
  • For MIG II: yearly income up to Rs. 1200001 lakh to Rs. 1800000 lakh.

4. What all documents are required for applying for the PMAY subsidy scheme?

It was broadly written in the blog above but in sort you require the following documents:

  • Application form
  • PAN card
  • Identity proof (other than PNA card)
  • Address proof
  • Proof of Income
  • Property documents

5. How will I receive the interest subsidy benefit under Pradhan Mantri Awas Yojana?

When the government verifies all of your documents, the subsidy will come into your account directly. Once banks receive the interest subsidy, it will be credited upfront to the loan account, and EMI will be readjusted.

6. Is there any limit to the loan amount or the property value?

No, there is no limit to the property of the value, but you can avail the benefits under the four above mentioned category.

However, the value of the property does not matter, but the carpet area is considered when you are purchasing it.  The carpet area of houses being developed or upgraded under this part of the mission ought to be up to 30 square meters and 60 square meters for EWS and LIG, separately so as to get benefit of this CLSS. The recipient, at his/her prudence, can manufacture a place of more significant zone; however interest subvention would be constrained to first Rs. 6 lakh as it were.

The most extreme floor covering a region of the residential unit is 120 sq.m./1291.67 sq. Feet for MIG I classification and 150 sq.m./1614.59 sq. Feet for MIG II classification.

7. What is the interest subsidy applicable for each of the category?

  • For EWS/LIG: 6.5 %
  • For MIG-I: 4 %
  • For MIG -II: 3 %

8. My spouse already owns a Pucca House, and now I want to buy one new property on my wife’s name. Can I qualify for the CLSS scheme under PMAY?

No, a household cannot take the benefit under CLSS as a spouse in the beneficiary family/household already owns one property.

9. What is the maximum tenure on which the PMAY subsidy is applicable?

A beneficiary can avail a more extended term beyond 20 years as per bank credit norms, but the subsidy will be restricted to a max time of 20 years.

10. Is there any additional eligibility norms apart from income, first pucca house and carpet area?

The property should have necessary civic infrastructure like water, toilet, sanitation, sewerage, road, electricity etc.

11. Can a person apply twice?

No, since your account is linked with your Aadhar Card, you would not be able to apply twice.

12. Is there any registration fee for this scheme?

If you are applying through the online portal, there will be no charges. If you apply offline, you will have to pay a registration fee of Rs. 25 plus GST.

13. Can NRI avail this subsidy?

Yes.

14. Do I have to give any additional documents to avail this subsidy?

No, you need to provide the self-declaration that you do not owe the pucca house.

15. How will the interest subsidy work in case I transfer my home loan to another lender?

In case a borrower who has taken a housing loan and availed of interest subsidy under this scheme but later on switches to another lending institution for a balance transfer, such beneficiary will not be eligible to claim the benefit of this scheme again.

16. What happens when the subsidy has been disbursed, but due to specific reasons, the construction of the house is stalled?

In such cases, the subsidy is to be recovered and refunded to the Central Government.

17. Is woman ownership compulsory to be eligible for this subsidy?

Woman ownership or co-ownership is compulsory for EWS and LIG. However, this condition is not compulsory for self construction/extension or MIG categories.

18. Is it required to provide the Aadhaar card details for all the members of the beneficiary family?

Yes. It is compulsory to provide the Aaadhar details for all the members of the beneficiary family who are applicants.

19. What is the processing fee to avail the scheme?

Prime lending institutions do not charge any processing fees in order to get advantage of this scheme

20. Whether repairing work to the existing house is covered for benefit under the Scheme?

Repairing work to the existing house can be undertaken in houses which are kutcha, semi pucca and require extensive renovation to make it into a pucca house. However, this is applicable only for applicants in the EWS and LIG categories.

21. What is the TAT (Turn around Time) for Foreclosure Statement?

The TAT for issuance foreclosure statement is typically 12 working days.

22. A household owner owns a plot, however, does not have a house. Is he eligible?

Plan refers to that "The beneficiary family should not own a pucca house either in his/her name or in the name of any member of his/her family in any part of India to be eligible to receive central assistance under the mission.”

In this manner, recipient family previously owning shop, business foundation, plot, processing plant yet not owning a pucca house clears the qualification parameter of first house possession.

23. How subsidy amount will be set off, i.e. whether loan amount will be reduced or tenure?

Subsidy amount shall not be adjusted against tenure. The impact of subsidy would be adjusted against the principal only, further impacting EMI amount.

So if you are planning to buy a new house for you and your family. Don’t’ worry. Just relax. If you have any questions regarding PMAY feel free to connect with Afinoz.com. You can call us at 0120-411-0376 or email us at info@afinoz.com. We value your requirements and are dedicated to helping you in the best possible manner.