The Pradhan Mantri Awas Yojana (PMAY) was introduced in June 2015 to realize the Government’s vision of housing for all Indian citizens by the year 2022. The scheme was bifurcated to cater to the specific housing needs of people in urban and rural areas. While the Pradhan Mantri Awas Yojana – Urban (PMAYU) applies to urban areas, the Pradhan Mantri Awas Yojana Gramin (PMAY G) is applicable in rural areas.
PMAY Gramin or PMAY G addresses the housing gap that exists in rural India. It aims to provide a pucca house including all the basic amenities to every household in every village. The area of each house built under PMAY G is 25 sqm. Theses houses will be disaster-resilient and will be built as per the socio-cultural and geo-climatic conditions.
Key Features of Pradhan Mantri Gramin Awas Yojana
- For houses in the plains, there will be unit assistance of Rs. 1.2 Lakhs. The Central and State Governments will share this cost in the ratio of 60:40.
- For difficult to access areas, including the Himalayan states, northeastern states, and the Union Territory of Jammu & Kashmir, the unit assistance amount is Rs. 1.3 Lakhs. The Central and State Governments will share this cost in the ratio of 90:10.
- The Central Government will offer 100% financing for the construction of houses in Union Territories excluding Jammu & Kashmir and including the newly-formed union territory of Ladakh.
- Beneficiaries can borrow up to Rs 70,000 from banks or other financial entities.
- For a maximum loan amount of Rs. 2 Lakhs, beneficiaries can avail a subsidy of 3% on the interest rate. The loan amount can exceed Rs. 2 Lakhs, but subsidy on interest rates will apply up to Rs. 2 Lakhs only. The subsidy provided cannot exceed Rs. 38,359 for the payable EMI.
- Loans taken under PMAY G can have a tenure of up to 20 years.
- Additional financial assistance of up to Rs. 12,000 will be provided to beneficiaries for constructing toilets under the Swachh Bharat Mission – Gramin.
- Beneficiaries receive payments electronically in the post office account or bank account linked to their Aadhar.
Additional Read: How to Complete your Dream of Owning a House Using PMAY
Data from the Socio-Economic and Caste Census 2011 (SECC 2011) is used to identify beneficiaries. If they meet the PMAY eligibility criteria for rural areas, they are added to the list of beneficiaries issued by the Gram Sabha.
- Families that are houseless or live in kutcha houses with zero, one or two rooms.
- Households with no male adult between ages 19 and 59.
- Households with no literate adult over the age of 25.
- Households with a disabled member.
- Households with no bodily-abled members.
- Households that do not own any land and earn from casual labour.
- Families that belong to SC, ST and other Minority categories.
- Families not owning any motorized vehicle, agriculture equipment or fishing boat.
- Kisan Credit Card holders with a spending limit under Rs. 50,000.
- Households with no government employees earning over Rs. 10,000 per month.
- Individuals who do not pay any professional tax or income tax.
Additional Read: What is the Eligibility for PMAY Scheme?
If you are buying your first home, visit Tata Capital for home loans at attractive interest rates. You can visit our website to check if you meet the Pradhan Mantri Awas Yojana eligibility criteria.