Pradhan Mantri Awas Yojna (PMAY) was implemented by the Ministry of Housing and Urban Affairs (MoHUA) of the Government of India to effectively address the problem of urban housing shortage among the EWS/LIG and MIG category by providing housing loans at a subsidised rate.

This scheme was launched on 25th June 2015 to provide pucca houses to eligible households in urban areas by 2022. Now the Union Cabinet, on request from Union territories and States, has extended the implementation period of PMAY-Urban till 31st December 2024. The PMAY scheme is divided into two parts:

1. The Pradhan Mantri Awas Yojana-Urban or PMAY-U  
2. The Pradhan Mantri Awas Yojana-Rural or PMAY-R.

According to the Credit Linked Subsidy Scheme Component of PMAY, beneficiaries who have opted for home loans get an interest subsidy of up to Rs. 2. 67 Lakh. You are eligible for this subsidy if you have acquired housing loans to construct or repurchase homes under this scheme.

According to PMAY, a beneficiary family should comprise a husband, wife, and unmarried son or daughters. And an adult-earning family member, whether married or not, can also be treated as a separate household.

What Makes You Eligible for Pradhan Mantri Awas Yojna Subsidy

The beneficiaries of the Pradhan Mantri Awas yojana Subsidy can be divided into the following categories according to their eligibility:-

1. Economically Weaker Section – People with an annual household income of less than Rs. 3 Lakh comes under this category. The PMAY – Credit Linked Subsidy Scheme for EWS (Economically Weaker section) will provide the interest subsidy rate of 6.5% for 20 years or for the loan tenure, whichever is lower is allowed under the scheme. The carpet area for EWS can go up to 30sqaure meters.
2. Light Income Group (LIG) – People with annual household incomes ranging from Rs. 3 to 6 Lakhs fall in this category. Beneficiaries under this category will be eligible for an interest subsidy rate of 6.5%, the same as EWS, for 20 years or the tenure of the loan, whichever is lower. The carpet area for LIG can go up to 60sqaure meters.
3. Medium Income Group (MIG1) – People with annual household earnings below Rs. 12 Lakhs come under this category. These beneficiaries can avail of loans up to Rs. 9 Lakhs for the construction of residences. The subsidy interest rate is 4%, and the maximum subsidy amount is Rs. 2.35 Lakhs. The maximum loan tenure is 20 years, and the carpet area is increased to 120 square meters.
4. Medium Income Group (MIG2) – Individuals with annual household income between Rs. 12 to 18 Lakhs will come under the MIG2 category. This group can avail of housing loan amounting to Rs. 12 lakh. The maximum loan tenure is 20 years, and the interest subsidy rate is 3%, with the maximum interest subsidy amount being Rs. 2.3 lakh. The carpet area for MIG2 has been revised and increased to 150 square meters.
5. Minorities – People from the minority groups like Schedule Caste, Schedule Tribe and OBC will come under this category.
6. Women – Also, women from the EWS and LIG categories, as discussed above, can get subsidy benefits under the PMAY Scheme.

Additional Requirement to be Eligible for Pradhan Mantri Awas Yojna Subsidy

In the case of a married couple, only one subsidy will be allowed either for a Single or a Joint Ownership deal.

The applicants must provide relevant proof of their economic status to the government for all the categories explained here. It is only on providing proper proof that their claims will be considered for the benefits under the PMAY scheme. Once you check your eligibility for Pradhan Mantri Awas Yojna, you can apply for the housing loan subsidy under PMAY online by visiting the official PMAY website or through an approved banking or housing finance company. Or you can apply offline by visiting authorises CSC (Common Services Centre).