Home, a spot supremely blest; dearer and sweeter than all the rest. Yet, thousands upon thousands in our country lay destitute, with no place to call their own. That is when the Central Government came to the rescue with the ambitious Pradhan Mantri Awas Yojana or PMAY scheme.
Introduced in 2015, this Credit Linked Subsidy Scheme (CLSS) targets on providing “affordable housing for all” by the year of the 75th Independence of India – 2022.
Let us get to know its features and benefits in details –
Housing for All Strata and in All Areas
The Pradhan Mantri Awas Yojana aims to construct 2 crore affordable houses in both urban (PMAY-U) and rural areas (PMAY-G) for raising the standard of living of all societal classes, mainly classified into income groups, as follows –
- EWS or Economically Weaker Section – Annual household income must be below Rs. 3 lakhs
- LIG or Low Income Group – Annual household income must be above Rs. 3 lakhs but below Rs. 6 lakhs
- MIG I or Middle Income Group I – Annual household income cap is Rs. 6 lakhs to Rs. 12 lakhs
- MIG II or Middle Income Group II – Annual household income cap is Rs. 12 lakhs to Rs. 18 lakhs
Subsidised Interest Rates
Those who meet the Pradhan Mantri Awas Yojana eligibility will receive home loans at subsidised rates of interest, as follows –
- For those belonging to the EWS or LIG category, PMAY subsidy will be extended at 6.5% for a tenure of 20 years
- For those who fall under the MIG I category, home loan interest rates will be subsidised by 4% for a maximum loan amount of Rs. 9 lakhs for a tenure of 20 years
- For those belonging to the MIG II category, PMAY subsidy will be provided at 3% for a loan amount up to Rs. 12 lakhs for a tenure of 20 years
Access to All Essentials
With toilet facility being a mandate, the Pradhan Mantri Yojana instructs urban local bodies to ensure that houses have provision for basic services such as water, electricity, sanitation, sewerage, etc. Moreover, the PMAY scheme also makes it mandatory to construct houses that meet the basic requirements of structural safety against natural calamities such as floods, cyclones, earthquakes, landslides, etc. in line with the National Building Code or other relevant BIS (Bureau of Indian Standards) codes.
The PMAY scheme has some gender-specific interventions made by the Government. The scheme makes female ownership a mandatory clause in both urban and rural areas, regardless of whether or not the woman is the one buying the property. Even among women, overriding preference is given to widows. In case of no female member, the property can be registered under the name of the male applicant only.
Note – Female ownership, though preferred, is not mandatory in case of MIG I and MIG II categories.
Provisions for the Elderly, the Disabled, and the Minorities
Under the Pradhan Mantri Yojana, families with senior citizens and physically challenged individuals will be allotted ground floor homes or at least the lower floors for purposes of safety and convenience. Moreover, the PMAY scheme also gives preferences to those belonging to the minority communities – Scheduled castes and tribes/other backward classes and transgender.
Ecologically Sound Homes
Under the Pradhan Mantri Awas Yojana, developers have been instructed to strictly adhere to the usage of environment-friendly and sustainable building technology and construction materials. As a result, not only damage to the environment and in and around the site of construction will be reduced but people can experience significantly lower pollution levels.