Pradhan Mantri Awas Yojna Online (PMAY) | Apply | Subsidy | Gramin
Since the time the Modi Government has come into power in India, Prime Minister Narendra Modi has launched many progressive scheme and initiatives in the country. All of these scheme have been launched with an aim of taking India towards complete development and to make India par with the other leading countries in the world.
One of the main problem in the country is poverty due to which it has been seen that more than 5 crore families in the country do not have a proper house to live in. there are two reasons behind this, one is that there are not many affordable houses and that people are not economically strong enough to buy houses at their market value. Now this is a major concern for the country’s development, where so many families do not have fulfillment of their basic needs like a house. So the Pradhan Mantri Awas Yojana was launched, under which it was announced that the government would build 5 crore houses in the country by the end of the year 2022.
|Name of the scheme||Pradhan Mantri Awas Yojana|
|Date of Launch||25th June, 2015|
|Scheme launched by||Indian Prime Minister Narendra Modi|
|Basic target of the scheme||Provide houses to women, low income groups, and ST/SC|
|Duration of the scheme||2015-2022, 7 years|
|Objective of the scheme||To provide homeless people with affordable houses|
Objective of the PM Awas Yojana
The main objective of this scheme launched by the Modi government is provide houses to all the families in the country who are practically homeless. With the help of this scheme the government wants to uplift the living standard of the people who live in the slums or streets, of rural and urban areas as well. There are a lot of people in the major cities who do not have proper shelter and their condition is bad. They are referred to as the urban poor, and this scheme will help such people in building a house for themselves. Studies done before the launch of the scheme showed that there are around 2 crore families in the urban areas who are homeless, and about 3 crore families in the rural areas who are without a shelter. With the help of this scheme these families will get a proper home to live in, at affordable rates.
In the year 2022 India would celebrate the 75th year of its independence. Before this occasion the Prime Minister wants all the citizen of the country to have a proper shelter for themselves. This is also the main purpose of the Awas Yojana and the scheme has been designed accordingly.
The 3 phases of the Awas Yojana
The scheme has been divided into three particular phases and under each of the phase certain targets have to be fulfilled. Here are the details about it-
|Phase 1||Phase 2||Phase 3|
|What is the duration of this phase?||April 2015 to March 2017||April 2017 to March 2019||April 2019 to March 2022|
|What will happen during this phase?||Certain specific cities would be selected and focused on. Building of houses would start and finish in these cities||Another set of cities would be covered houses will be built in this phase||The other cites would be targeted and the building and completion of dwelling units will take place|
|How many cities will be targeted?||Around 100 cities will be chosen and targeted||200 cities would be focused upon||All the remaining number of cities will be targeted|
So basically with in these three phases the government of India would be looking forwards to build the houses for the homeless families at affordable rates. So in this three phases more than 2 crore houses or dwelling units will be built for the urban poor which can be brought at much lower rates that the market price.
Beneficiaries of the Awas Yojana and eligibility factor
Under this scheme the government would mainly focus on families who belong to the Economically Weaker sections of the society and the Lo Income Group. In these two groups also the focus would be mainly on the women beneficiaries. Then the focus would be on all other beneficiaries belonging to the SC/ST or Tribal communities. The selection of women would be based on their economical state and not on the basis of their caste or religion.
But then when applying for this scheme subsidy the applicant needs to prove his or her economical state. It has been mentioned that the scheme would could be availed by people whose income do not exceed Rs.3 lakhs in a year (people belonging to economically weaker section) and Rs.6 lakhs in a year (people belonging to low income groups). Also it has been mentioned that the age of the applicant should be between 18 years to 55 years.
The families who are applying for this scheme should not have a house of cement from before.
Features and Subsidy in Awas Yojana
The main features of the scheme are mentioned below-
- Under this scheme the beneficiaries will be provided with a subsidy ranging between Rs.1 lakh to Rs.2.30 lakhs. With this subsidy the beneficiaries will be able to by affordable dwelling units for themselves.
- Under this scheme subsidy will also be given on the interest rate of the loans. It has been mentioned that an interest rate subsidy of 6.5% will be given. This subsidy will be provided for a tenure from the date of loan taken up to 15 years from then.
- Apart from this the beneficiary can take a loan of any amount for building a house or buying a house. But then the subsidy on the interest rate provided by the government will only last for 15 years and only for a loan of up to 6 lakhs. For an amount above that the subsidy on interest rate will not be given.
- The scheme would give preference to the women who want houses. The allotment of houses will be done to female beneficiaries first. This is being done so as to uplift the status of women in the society and to give them importance.
- It has also been mention that the dwelling units that are in the ground floor will be reserved for the disabled and the aged beneficiaries.
- It is mandatory that the houses built under this scheme is built in a way that it is eco-friendly. The construction should be done in an eco-friendly way so that minimum harm is caused to the environment.
- Under this scheme the houses built will be up to 30 square meter carpet area with basic infrastructure. The standard of the house to be constructed should be according to the guidelines mentioned by the National Building Code.
- The dwelling units that would be constructed would be constructed in a way that it would be safely standing against earthquake, landslides, and floods.
- Under this scheme the poor people of the urban cities will also be given a loan of Rs.150000 from the central government for the purpose of building an own house instead of buying houses from what government is constructing or for making some renovations in their existing house.
- From the houses built under this scheme, 35% of it are reserved for the people who belong to the economically weak section of the society.
- Along with the housing benefits, the scheme would also aim on generating employment. This would happens as the building of so many houses would surely require labors, thus giving employment to more and more people.
Under this scheme all the cities or towns that have been recorded in the Census of 2011 will be included. There is an agreement that the states have to sign for being a part of the scheme and then they have to send their proposal to the Ministry. Then the states and the union territories will have to conduct a survey in their region in order to determine the number of dwelling units required. And then Ministry gives the plan of action to the state. And the state will then release the application form to the people. The people will have to apply for the scheme benefits and then they will be chosen on the basis of their needs.
Interest rate and EMI details of the scheme
The best part of the scheme is that the government is offering great interest rate offers. The people who will take loans for building a house will be given and interest rate subsidy of 6.5%. The current rate of interest of home loan is 10.5%, so basically with the subsidy the interest becomes 4% below the market rate. So the EMI that the person has to pay will also become less.
So if you take a loan of Rs.6 lakhs for 15 years the keeping in mind the market rate of interest you EMI is Rs.6632 in a month. But with this scheme your interest rate is just 6.5% instead of 10.5% so your monthly installment becomes Rs.4050. so there is also a difference of Rs2000 in the money that you have to pay every month. This come as a great relief.
Certain important and notable facts relating to the subsidized interest rate offered-
- To avail the subsidized interest rate offered under this scheme the person has to take a loan within the amount of Rs.6 lakhs. For loan amount that exceeds Rs.6 lakhs the interest calculated with be of the market rate. So if you take Rs.8 lakhs loan then for the extra 2 lakhs you will be charged interest at the rate of 10.5%.
- Another important factor is that the subsidized interest rate will be applicable for loans of 15 years. If you take a loan for 18 years then for the 3 years you have to pay an interest of 10.5%.
How to Apply to for the scheme
Applying for an allotment of house under this scheme one has to just download the scheme application form that is available online and fill in details such as name, sex, age, income details, address, Aadhaar card number, family member count, and few other details. Once you have filled the form you need to submit the form to the Government office of your area that is taking care of this scheme.
Some essential document that one needs to submit along with the application form are-
- Income Certificate or affidavit
- Copy of current address
- Copy of certificate that determines your status or caste (in case of SC/ST)
- Nationality proof copy
- Copy of any one of the following- Aadhaar card, voter card or driving license
- Last six months bank account statement copy
- Affidavit that the beneficiary does not already own a pucca house.
States and union territories where the houses will be built
The State that have been undertaken in the first phase of the Yojana are mentioned below. From each of these following States, few of their cities and towns have been chosen for building affordable dwelling units.
The State include- Andhra Pradesh, Chhattisgarh, Gujarat, Haryana, Himachal Pradesh, Jammu & Kashmir, Jharkhand, Kerala, Madhya Pradesh, Manipur, Nagaland, Odisha, Rajasthan, Telengana and West Bengal.
The Union territories covered are- Puducherry, Lakshadweep, Daman and Diu, National Capital Territory of Delhi, Chandigarh, Andaman and Nicobar Islands and Dadra and Nagar Haveli.
Pradhan Mantri Awas Yojana- Gramin
Where the Pradhan Mantri Awas Yojana mainly focus on uplifting the urban poor and building affordable house for them, a new segment of this scheme has been approved by the government that would focus on building houses for the rural homeless. The scheme was approved on March 2016. The scheme will be a part of the Awas Yojana and will help in building affordable houses in the rural areas. Some features of it are-
- Under this Gramin yojana around 1 crore houses will be built for the poor and homeless in the rural areas in the coming three years. This will also employee many people in the rural areas, as people will be needed for construction.
- The cost of this would be shared by the central and the state government.
- Under this scheme a subsidy of Rs.120000 would be given for people in the plain areas and a subsidy of Rs.130000 will be given for the people in hilly areas.
- A loan of up to Rs.70000 would be given to the beneficiaries for the construction of the houses.
- People living in ‘Kutcha’ houses in the rural area will be eligible for the scheme benefits. Other families who are absolutely home of course be applicable for this scheme.