5 Features And Benefits Of Pmay Scheme

By Author: Kaivalya Borde
Total Articles: 5
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The Pradhan Mantri Awas Yojana offers a subsidy to economically challenged people looking to build or buy a new house. If you want to apply for PMAY, there are certain aspects of the plan that you should be aware of.

Features of PMAY:
PMA subsidy on home loans is only offered to those people who fall under the Economically Weaker Section (EWS), Lower Income Group (LIG) or Middle-Income Group (MIG).
People applying for the PMAY scheme should also ensure that they do not own any other pucca house at the time of application. Similarly, your immediate family members (spouse and children) should not hold such a house.

Benefits of PMAY scheme:

1. Subsidy
If you come from an Economically Weaker Section (EWS) and Lower Income Group (LIG), you can get a subsidy ranging from INR 1 Lakh to INR 2.3 Lakhs. The subsidy is dependent on your annual income.

2. The subsidised rate of interest
People who apply for the PMAY will also be liable to receive a substantially reduced interest rate on their home loans. For example, if the borrowed money is below INR 6 lakh, people under the scheme ...
... will have to pay just 6.5 per cent interest, as opposed to the normal market rate of 10.5 per cent. However, if you borrow more than INR 6 lakh, you will have to pay interest as per the market rate.

3. Women-centric scheme
Keeping up with the times, the PMAY scheme gives preference to female applicants over male counterparts. Therefore, if the applicant is a female, the success rate of the loan being approved is high. Consequently, it is significantly pro-women in its outlook.

4. Ground floor to senior citizens
If you have an elderly/disabled member in the family, preference will be given to you for a ground floor house. This is done to ensure that those members do not face any difficulty while residing in that place.

5. Renovation and extension
PMAY is not limited to the purchase or construction of a new house. It also offers financial assistance to people looking to extend or transform their current home. However, for successful application in such a case, the house to be renovated needs to have a carpet area of 30 square metres for EWS candidates and 60 square metres for LIG candidates.
Therefore, the Pradhan Mantri Awas Yojana scheme is highly useful and can help you fulfil your dream of building a beautiful home.

About the author:

Kaivalya Borde is a financial expert by profession. In the spare time, he loves to write about financial products. Through his work, he has provided information on the five features and benefits of the PMAY scheme.