Pradhan Mantri Awas Yojana (Housing for All 2022 Scheme)

This is a particular scheme by the Indian Government that takes limelight to make it better for homeless people in India.

Some of the main facts that one should be aware of, is that the slum or homeless populations are growing at 34% and are expected to reach a whopping 18 million soon. Also, there are 2 million non-slum poor in urban cities that also need a home. Our PM Shri Narendra Modi has come up with the Pradhan Mantri Awas Yojana, which is a housing project for the 20 million people we just discussed earlier.

If this scheme does work, it would at least help to reduce India's major contribution with one of the highest homeless populations in the World. Also it is essential to understand the different plans for rural and urban PMAY which improves the quality of life for urban people, regardless of their income groups

Aim of PMAY Housing Scheme for All By 2022:

Under the Pradhan Mantri Awas Yojana (PMAY), the main proposal was to constrict 20 million homes for the those people belonging to the Low Income Families and Economically Weaker Sections in the identified urban and semi urban areas by 2022. The central government has already pushed the subsidy of INR 2 lakh crores for this. Housing for all 2022 has mainly four categories, which are:

• Building and/ or enhancing the houses led by legatees
• Reasonable housing via Credit Linked Grant
• In-situ Slum Redevelopment with private sector participation using land as resource
• Affordable housing in association with private and government funding

As per these components, government aid will be an amount between INR 1 lakh and INR 2.30 lakhs based on the beneficiary's eligibility.

Beneficiary of PMAY:

The beneficiary of this scheme is defined as the following:

• A family unit that includes a husband, a wife and children who are yet to be married.
• He/she/they must not own a constructed house in the Indian subcontinent to avail this scheme.
• He/she/they should be meeting the income requirements of the scheme.
• Income Requirements of the Beneficiary for PMAY: The economically weaker sections consist of families with a yearly income of less than 3 lakhs. People who belong to annual income group of Rs. 3 lakhs and up to Rs. 6 lakhs will fall under lower income groups or LIG.

Highlights of the Pradhan Mantri Awas Yojana (PMAY)

Scheme	Pradhan Mantri Awas Yojana
Brief introduction about Pradhan Mantri Awas Yojana	The Pradhan Mantri Awas Yojana aims to provide cost effective housing solutions for the economically weaker sections of the society. The objective is construct 2 crore houses across the country by 2022.
Objective	Affordable housing for all
Target group	Those who belong to the economically weaker sections of society and low income groups
Areas where homes will be constructed	Urban areas
Launched by	Prime Minister Narendra Modi
Number of phases	Three
Date of launch	June 25,2015
Features	The scheme is mainly targeted at the urban poor in India There will be no caste based discrimination while providing loans under this scheme Facility will be available to scheduled castes and scheduled tribes
Subsidy range	Between Rs.1 lakh and Rs.2.30 lakh
Eligibility criteria	Age - 70 years or lesser Income range - less than Rs.3 lakh for economically weaker sections & between Rs.3 to 6 lakh for lower income groups
Interest rate	6.5%

Benefits and Basic Features About Urban PMAY

• Subsidy interest rate is provided at 6.5% on housing loan for the term of 15 years to all the beneficiaries.
• Differently abled and senior citizens get preference in allocation of ground floors under this scheme.
• Sustainable and eco-friendly technologies would be used for construction.
• The scheme covers entire urban areas in the country which includes 4041 statutory towns with the first priority given to 500 Class I cities. This will be done in 3 phases.
• The credit linked subsidy aspect of the PMAY scheme gets implemented in India in all statutory towns from the initial stages itself.

Objectives of the PMAY Scheme:

Based on recent estimates, as of September 2016, the population of the urban dwellers in India increased at an alarming rate and is expected to see a greater rate of growth in the following years. It is said that by 2050, urban dwelling population will rise to 814 million people. The calculation predicted is almost twice the number that already reside in urban areas. The major challenges also include providing people with housing options that are affordable and other major related concerns such as sanitation along with sustainable development. The Ministry also has to ensure a sustainable and safe environment for the urban population.

1. The main objective of the Pradhan Mantri Awas Yojana is housing that is affordable for all by the year 2022.
2. It also intends to make it accessible to demographics that are specific such as economically challenged groups, women along people belonging to minorities such as Scheduled Castes and Scheduled Tribes.
3. The Government's other goal is directly in association with some of the most ignored demographics which include widows, lower income group members, transgender and henceforth provide them with sustainable and affordable housing scheme.
4. Special preferences for ground floor properties will be given to differently abled and senior citizens if required.
5. Registration is mandatory to avail the benefits of this scheme which includes the strict beneficiary names to be mothers or wives.

This scheme launch is intended to target urban areas of the following options to States or Union Territories as well as cities as mention earlier.

Three Phases of Pradhan Mantri Awas Yojana (PMAY) Scheme

The Pradhan Mantri Awas Yojana will be executed in three phases. Refer to the below tables for more details:

Phase 1

Start date	April 2015
End date	March 2017
Cities covered	100

Phase 2

Start date	April 2017
End date	March 2019
Cities covered	200

Phase 3

Start date	April 2019
End date	March 2022
Cities covered	Remaining cities

Eligibility of Beneficiaries for PMAY (Gramin)

The Socio Economic and Caste Census of 2011 (SECC 2011) is going to be utilized to identify and select the list of beneficiaries under the Gramin plan of the PMAY.

The village panchayats along with tehsils will be considered for consultation of beneficiaries before making the list under the rural housing scheme. This is going to be done in order to ensure transparency of the project and also make sure that only the deserving receive the aid in housing.

Eligibility for the Pradhan Mantri Awas Yojana (Urban)

The following demographics are eligible for the scheme:

1. Indian citizens who are women may apply. No other demographic will be considered as long as they are women.
2. People who belong to the low income group i.e. LIG and economically weaker sections also known as EWG in the society, may also apply.
3. Scheduled tribes and castes will also be eligible.
4. Senior citizens and differently abled will be given special priorities for ground floor housing.

How to Apply Pradhan Mantri Awas Yojana

Simply check whether you are eligible under the scheme and apply by completing the following instructions:

1. First visit the PMAY official website: http://pmaymis.gov.in/
2. Find the "Citizen Assessment" option from header menu section
3. Enter your Aadhaar card number
4. After this it will be landing you to the application page, make sure all the information filled are accurate.
5. Then download the application form and print the page
6. Submit the form at your nearest CSC office centres and financial insituation/banks along with the required documents.

PMAY Home Loan Interest Rate:

Home loan interest rate is around 9% at present. So, if 4% interest subsidy on a loan of up to Rs.9 Lakhs is applied, then the E.I.R (Effective Interest Rate) would be 5%, which will benefit the borrowers.

Pradhan Mantri Awas Yojana (PMAY) - Credit Linked Subsidy Scheme

Eligibility	Income Range	Carpet Area	Rate of Interest	Subsidy Amount
Economically weaker sections	Max of Rs.6 lakh	60 sqm	6.5%	Rs.6 lakh
Lower Income groups	Max of Rs.6 lakh	60 sqm	6.5%	Rs.6 lakh

Pradhan Mantri Awas Yojana EMI Calculator

Pradhan Mantri Awas Yojana scheme aims to simplify the process of purchasing a home for the urban poor and weaker sections of society through EMIs at reasonable rates of interest. The rate of interest is comparatively much lesser than commercial rates, thus offering people subsidised loans.

To calculate the EMI log on to the Pradhan Mantri Awas Yojana website and fill in the following details: http://pmaymis.gov.in/EMI_Calculator.aspx

• The total loan amount in rupees
• The rate of interest
• The total loan period in months

Once the following details are submitted, click on the ‘Calculate’ option. This will give you the monthly installment or EMI payable in rupees.

PMAY Functions of Technology Sub-Mission:

Pradhan Mantri Awas Yojna Technology Sub Mission will cover following:

• Better Habitat Designing & Planning of the Buildings
• Planning to Develope Environment Friendly Houses
• Best Construction Practices
• Arranging the Most Innovative Technologies
• Picking the Most Suitable Materials

How Does PMAY Work Through the Borrow's Bank:

The bank from where the individual is taking the loan will claim the subsidy benefit for the eligible applicants from the National Housing Bank (NHB). The National Housing Bank will then check to investigate whether anyone is making multiple applications under the scheme. Once confirmed, the CLSS or subsidy amount will be given to the borrower's Bank. Once the amount is received, the money would be credited directly to the Loan Account.

Pradhan Mantri Awas Yojana Toll Free Helpline Number

In case of any queries relating to the application process, interest rates and any other scheme related queries, customers can contact the Pradhan Mantri Awas Yojana toll free helpline number:

• 1800-11-6163 (Urban, HUDCO)
• 1800-11-3388 (Urban,NHB)
• 1800-11-3377 (Urban,NHB)
• 1800-11-6446 (Gramin)

Those facing any issues related to the application process can contact the above toll free numbers according to the locations.

PMAY Loan Amount Doubled - 2017

On 2nd January, 2017, Narendra Modi, the Prime Minister of India, doubled the loan amount under Pradhan Mantri Awas Yojana (PMAY) that is eligible for interest subsidy for urban areas.

Updates:

The government will now provide the following under this scheme:

• Loans of up to Rs.12 lakhs with up to 4% interest subvention.
• If people borrow up to Rs.2 Lakhs for the purpose of purchasing a new home or for housing extension in rural areas, then they will get 3% interest subvention.
• If people borrow loan of up to Rs.9 Lakhs in 2017, they will get 4% interest subvention.
• If people borrow loan of up to Rs.12 Lakhs in 2017, they will get 3% interest subvention.

Apart from the above, the government will create 2 new middle income categories in urban areas under PMAY.

FAQs on Pradhan Mantri Awas Yojana:

You still may have some questions, regarding some terms that you may not be familiar with or some queries that you may have about. Here are some of these most commonly asked questions about PMAY and PMAY Gramin:

1. If I am a woman can I apply for this scheme?

   Yes, this scheme gives priority to women who are running a family within the lower income groups. However, if your husband, father or any other family member that you reside with has applied, your application will be rejected.

2. I am a senior citizen and fall under the local income groups? While the PMAY scheme seems financially viable, as an elderly person I would prefer a housing in the Ground Floor. What should I do?

   You simply need to apply as a senior citizen, since all senior citizens are provided the priority for having access to Ground floor housing. However, ensure that you apply early since the priorities among senior citizens for ground floor is also shared with differently able beneficiaries as well.

3. What does one mean by DBT?

   People refer to Direct Benefit Transfer as DBT. This means that the beneficiaries will receive the funds they are expected to receive, in the form of installments, under the scheme, directly in their bank accounts, instead of having to go through random offices and banks. The funds allocated for the rural housing scheme under PMAY will also be sent off to the beneficiaries through direct fund transfer to the bank accounts of the listed and identified beneficiaries. Labour allocation and labour training for the Awas Yojana

4. Why will the Government geo tag the properties under the PMAY housing project?

   The importance of transparency in the whole housing project is essential, right from the scheme rules and regulations being created to the basic requirement of sanitation being implemented in the housing. All of that must be followed, which requires geo tagging, to have all information available for parties involved, whenever needed. Geo tagging, basically means adding meta data to a photograph or map of your home located in the map. It also helps retain updated satellite imagery of the progress of the project. This helps to remotely monitor each unit, without having to be there in person.

5. How long will the PMAY project last?

   The PMAY project is supposed to last until 2022. But, this is the date, which ensures that all the regions in India have beneficiaries, who can avail the scheme. The construction and ultimately the beneficiaries moving in may take longer.

6. How Do I Find out whether my town or city is part of the first phase?

   Simply go online, and check for the list of cities in the the first Phase of the PLAY project.

7. Transgenders are also a part of the Indian society. As a transgender can I apply?

   Transgenders often belong to low income groups and economically challenged groups. As long as they also cover all the other eligibility requirements, such as documentation or a single applicant from a family, this demographic will not be ignored by this scheme. However if you are not in the income groups required by the schemes, you will not be eligible for the scheme.

8. What is the maximum annual income should I have to be eligible for PMAY?

   Your annual income should not be more than Rs. 6 lakhs. However, there are no lower limits for the PMAY income requirement.

9. Why would sustainable and eco-friendly technologies be used for construction in the housing projects under the PMAY? Are they not making it more expensive that way?

   Eco-friendly projects do not mean that the PMAY constructions will make the ultimate housing price expensive. It only means that it will ensure that the environment is not harmed in anyway. It is essential to ensure that people in the future and that too in the near future do not perish due to environmental hazards, considering that global warming is a real phenomenon and is hitting our country, more than we realize.

10. What is a Central Nodal Agency when we are talking about PMAY?

    These are basically nodal agencies that are identified by the Ministry or Government to function as bodies which implement Credit linked subsidy.

11. What does one mean, by carpet area in lieu with Pradhan Mantri Awas Yojana?

    Area enclosed within the walls, actual area to lay the carpet. This area does not include the thickness of the inner walls

12. How does the housing project ensure that there is enough labour for construction for the housing under the PMAY in rural regions?

    The Mahatma Gandhi National Rural Employment Guarantee Act enables the Government to hire enough labour for construction of homes under PMAY in the rural regions. The beneficiaries under the P M Awas Yojana will have access to unskilled labour for 90 days through MGNREGA. Already 30,000 masons have been trained for the purpose as of September 2016.

13. What is FAR when it comes to PMAY?

    Let us take a look at the equation to quickly understand what FAR means:

    • Floor Area Ratio = Total covered area on all the floors x 100 divided by Plot area.
    • However, some cities or towns may have varied definitions. The definitions that have been promoted by the region will be considered under such conditions to remove any sort of confusion.
14. What is Implementing Agencies and how are they different from Central Nodal Agencies (CNA)?

    These agencies comprise of any Urban Local Bodies, Housing Boards, Development Authorities, etc., unlike nodal agencies that have been picked by State Government or SLSMC for the purpose of implementing Housing for PMAY missions.

15. What is TDR or Transfer of Development Rights?

    This term simply ensures the availability of a particular amount that is additional on the built up with respect to the surrendered or relinquished area of land which allows the owner to use an added built up area for himself/herself in some other land.

16. Who is the scheme for?

    Anyone who belongs to the economically weaker section of the society and does not own a ‘pucca’ house

17. Who is a beneficiary family?

    The individuals availing the benefit under the scheme are referred to as the beneficiary family

18. Is the scheme for non-resident Indians?

    Yes

19. Are there any further subsidies/discounts provided on this scheme?

    No

20. What is the term of the loan?

    20 years to avail subsidy. If extended, subsidized rates will not be applicable

21. Is it a must for a woman to own the property?

    Yes, it is so for lower income groups and economically weaker sections of society

22. Can this be availed in rural areas?

    No. The scope of the scheme is limited to urban areas.