The introduction of the Pradhan MantriAwasYojana back in 2015 came as a ray of hope for first-time homeowners. This Credit Linked Subsidy Scheme aims at providing first-time homeowners with a PMAY subsidy wherein they can borrow home loans at subsidised rates of interest. However, to do so, the Government has specifiedspecific eligibility criteria.
Pradhan MantriAwasYojana Eligibility Criteria
Applicants that wish to avail the benefits of the PMAY scheme must meet the following eligibility criteria:
- The applicant or his/her family must not own a ‘pucca’ house in any part of the country. Meaning, no home must be registered either in the name of the applicant or in the name of any other member of the applicant’s family
- The Pradhan MantriYojana makes adult female co-ownership of the property mandatory. This also means that while applying for a home loan under PMAY, the female member must be the co-applicant, regardless of whether she contributes towards financing the purchase. In the case of no female member, the property can be registered solely in the name of the male member. However, this clause is optional for MIG I and MIG II categories.
- Moreover, this condition is also not mandatory in case of construction on an existing plot of land or renovation and remodeling of an existing house
- The applicant or his family must not have previously availed State/Central assistance under any other housing-related scheme by the Central Government
- The maximum age limit for applicants at the time of home loan maturity has been capped at 70 years
- The property’s location must fall under the statutory towns and their adjacent planning area as specified in 2011 Census (and updated by the Government from time to time)
Beneficiary Categories under PMAY
Under the Pradhan MantriAwasYojana, PMAY subsidy on home loans is to be provided based on the beneficiary category the applicant falls under. The categories are as follows –
- EWS or Economically Weaker Section – Those applicants whose annual householdincome is less than Rs. 3 lakhs fall under this category. Such beneficiaries can avail houses with carpet area not exceeding 30 sq. mts.
- LIG or Low Income Group – Those households whose annual income is above Rs. 3 lakhs but below Rs. 6 lakhs come under this category. The beneficiaries of this category will be allowed to purchase homes with a carpet area, not exceeding 60 sq. mts.
- MIG I or Middle Income Group I – Households having an annual income of more than Rs. 6 lakhs but less than Rs. 12 lakhs are said to belong to this category. A maximum carpet area of 120 sq. mts. can be availed by beneficiaries of this category
- MIG II or Middle Income Group II – The applicants whose annual household income is higher than Rs. 12 lakhs but lower than Rs. 18 lakhs fall under the MIG II category. The beneficiaries of MG II will get homes with a maximum carpet area of 150 sq. mts.
Want to check your Pradhan MantriAwasYojana eligibility? Use a quick online tool such as the PMAY eligibility calculator! All you need to do so is enter in details such as your Annual Family Income, the Loan Tenure, and the Principal Loan Amount, and the PMAY calculator will automatically display, within seconds, the PMAY subsidy amount and the subsidy category under which you are eligible to apply for a home loan.