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The honourable Prime Minister of India, Mr. Narendra Modi, launched the Pradhan Mantri Awas Yojana Scheme (PMAY) on 1st June 2015. The scheme aims to provide housing facilities to those individuals who cannot afford big and expensive houses themselves. It also aims to provide housing to all individuals by the end of the year 2022, when India completes 75 years of achieving independence from the British Rule. Pradhan Mantri Awas Yojana has two components which are
The scheme was implemented in 2015 and since then it has undergone many phases of implementation. Affordable home in more than 500 Class 1 cities would be developed in the following three phases
| Phases | Start and End Date | Number of cities covered |
|---|---|---|
| Phase 1 | 1st April 2015 to 31st March 2017 | 100 |
| Phase 2 | 1st April 2017 to 31st March 2019 | 200 |
| Phase 3 | 1st April 2019 to 31st March 2022 | Remaining cities |
Pradhan Mantri Awas Yojana as known by all was launched with the objective of "har kisi k sar par chath". The broad motive is known by all but,let us develop an understanding on the specifically benefited classes. The Pradhan Mantri Awas Yojana aimed at
The Pradhan Mantri Awas Yojana (PMAY) scheme has some salient features which need to be highlighted. These features include the following
The Pradhan Mantri Awas Yojana (PMAY) scheme lists down certain eligibility parameters and individuals fulfilling the specified parameters are only allowed to get an interest subsidy. The parameters are as follows
To determine which households qualify as beneficiaries of the scheme, the Government of India considers the Socio Economic and Caste Census (SECC) of 2011 as the database. The village panchayats and also the tehsils are considered and consulted with when creating a list of beneficiary households who qualify for the scheme. This is done so that the scheme is completely transparent and offers equal opportunities to eligible beneficiary families.
The benefits of the scheme depends on which income category does the individual belong to. The details of the four income categories eligible for the scheme and their respective benefits are as follows
| Details | Economically Weaker Section | Low Income Group | Medium Income Group I | Medium Income Group II |
|---|---|---|---|---|
| Range of annual income of the household | INR 0 to INR 3 lakhs | INR 300,001 to INR 6 lakhs | INR 600,001 to INR 12 lakhs | INR 12,00,001 to INR 18 lakhs |
| Maximum amount of home loan which can be availed to claim an interest subsidy | Up to INR 6 lakhs | Up to INR 6 lakhs | Up to INR 9 lakhs | Up to INR 12 lakhs |
| Available interest subsidy | 6.50% per annum | 6.50% per annum | 4% per annum | 3% per annum |
| Maximum duration of the home loan | 20 years | 20 years | 20 years | 20 years |
| Maximum carpet area of the dwelling unit | 30 square metres | 60 square metres | 160 square metres | 200 square metres |
| Discount rate applicable for the calculation of the Net Present Value of the interest subsidy available under the scheme | 9% per annum | 9% per annum | 9% per annum | 9% per annum |
| Maximum amount of interest subsidy available under the scheme | INR 267,280 | INR 267,280 | INR 235,068 | INR 230,156 |
Now that you know that you get an interest subsidy, the next step is to calculate the actual interest rate payable for the loan you avail. This calculation can be done using online Pradhan Mantri Awas Yojana (PMAY) interest rate calculators which are available on most websites.
You can apply for the Pradhan Mantri Awas Yojana (PMAY) scheme either
Online application to PMAY can be made by following some simple steps. These steps include –
If, on the other hand, you want to apply offline, the process is as follows
After you have applied for the Pradhan Mantri Awas Yojana (PMAY) scheme, you can track the status of your application using the following steps
The following banks allow individuals to avail the Pradhan Mantri Awas Yojana (PMAY) scheme
| Central Bank of India | Vijaya Bank | State Bank of Patiala | Bank of India |
| United Bank of India | UCO Bank | Syndicate Bank | Bank of Baroda |
| State Bank of Travancore | State Bank of Mysore | State Bank of Hyderabad | Andhra Bank |
| State Bank of Bikaner and Jaipur | Punjab National Bank | Punjab & Sind Bank | Allahabad Bank |
| Indian Bank | Dena Bank | Corporation Bank | Oriental Bank of Commerce |
| Canara Bank | Bhartiya Mahila Bank Laimited | Bank of Maharashtra | Indian Overseas Bank |
| South Indian Bank Limited | Nainital Bank Limited | Lakshmi Vilas Bank | Karnataka Bank Limited |
| Jammu and Kashmir Bank | Dhanlaxmi Bank Limited | City Union Bank | ICICI Bank Limited |
| Yes Bank | The Federal Bank Limited | Karur Vysya Bank Limited | DCB Bank Limited |
| Catholic Syrian Bank | Axis Bank Limited | Tamilnad Mercantile Bank Limited | Purvachal Bank |
| Ellaquai Dehati Bank | Kashi Gomti Samyut Bank | Odisha Gramiya Bank | Vanachal Gramin Bank |
| Satlij Gramin Bank | Uttarbanag Kshetriya Gramin Bank | Madhyanchal Gramin Bank | Telangana Grameena Bank |
| Meghalaya Rural Bank | Sarva UP Gramin Bank | Tripura Gramin Bank | Rajasthan Marudhara Gramin Bank |
| Bihar Gramin Bank | Jharkhand Gramin Bank | Chhattisgarh Rajya Gramin Bank | J& K Grameen Bank |
| Chaitanya Godavari Grameena Bank | Baroda Rajasthan Kshetriya Gramin Bank | Utal Grameen Bank | Bangiya Gramin Vikas Bank |
| Kaveri Grameena Bank | Central Godavari Grameena Bank | Saurashtra Grameen Bank | Sarva Haryana Gramin Bank |
| Pragathi Krishna Gramin Bank | Manipur Rural Bank | Janta Sahakari Bank Limited | Narmada Jhabua Gramin |
| Nagaland Rural Bank | Langpi Dehangi Rural Bank | The Punjab State Co-operative Bank Limited | Mizoram Rural Bank |
| Maharashtra Gramin Bank | Uttarakhand State Co-operative Bank Limited | Shree Panchganag Nagari Saharkari Bank Limited | Madhya Bihar Gramin Bank |
| Kerala Gramin Bank | Kerala State Co-operative Bank Limited | Karad Urban Co-operative Bank Limited | Karnataka Vikas Grameena Bank |
| Meghalaya Co-Operative Apex Bank Ltd | The Surat People's Cooperative Bank Limited | Mizoram Cooperative Apex Bank Limited | Sangli Urban Co-Operative Bank Limited |
| The Goa State Co-Operative Bank Limited | Shikshak Sahakari Bank Limited | Mehsana Urban Cooperative Bank Limited | Sikkim State Co-Operative Bank Limited |
| Sardar Bhiladwala Pardi People's Co-Operative Bank Limited | Nutan Nagarik Sahakari Bank Limited | Mahanagar Co-operative Bank Limited | Odisha State Cooperative Bank |
| Kalupur Commercial Co-operative Bank Limited | Citizen Credit Co-operative Bank Limited | J&K State Cooperative Bank | Jharkhand State Co-Operative Bank Limited |
| Cosmos Co-operative Urban Bank Limited | The Nawangar Co-operative Bank Limited | Chhattisgarh Rajya Sahakari Bank Maryadit | Bombay Mercantile Co-operative Bank Limited |
| Bihar State Co-operative Bank Limited | The Greater Bombay Co-operative Bank Limited | Sarvodaya Commercial Co- operative Bank | Jalgaon Janata Sahakari Bank Limited |
| The Bharat Co-operative Bank (Mumbai) Limited | Rajkot Nagarik Sahakari Bank Limited | The Kalyan Janata Sahakari Bank Limited | The West Bengal State Co- operative Bank Limited |
| The Gujarat State Co-operative Bank Limited | Punjab and Maharashtra Co-operative Bank Limited | Shri Mahila Sewa Sahakari Bank Limited | The Ahmedabad Mercantile Co- operative Bank Limited |
| Prime Co-operative Bank Limited |
The following banks and non-banking financial companies offer home loans under the Pradhan Mantri Awas Yojana (PMAY) scheme
| KF Housing Finance Private Limited | Manipal Housing Finance Syndicate Limited | Ummeed Housing Finance Private Limited |
| Mamata Housing Finance Company Private Limited | West End Housing Finance Limited | Mahindra Rural Housing Finance Limited |
| Viva Home Finance Limited | Magma Housing Finance | Vastu Housing Finance Corporation Limited |
| LIC Housing Finance Limited | USB Housing Finance Corporation Limited | L&T Housing Finance Limited |
| Tata Capital Housing Finance Limited | Khush Housing Finance Limited | Swarna Pragati Housing Microfinance Private Limited |
| India Shelter Finance Corporation Limited | Swagat Housing Finance Company Limited | India Infoline Housing Finance Limited |
| Supreme Housing Finance Limited | India Home Loan Limited | Sundaram BNP Paribas Home Finance Limited |
| India Bulls Housing Finance Limited | SRG Housing Finance Limited | ICICI Home Finance Company Limited |
| Shubham Housing Development Finance Company Private Limited | Housing Development Finance Corporation Limited | Shriram Housing Finance Limited |
| Housing and Development Corporation Limited | SEWA Grih Rin Limited | Home First Finance Company Limited |
| Saral Home Finance Limited | Hinduja Housing Finance Limited | Sahara Housing Finance Corporation Limited |
| HBN Housing Finance Limited | Repco Home Finance Limited | Habitat Microbuild India Housing Finance Company Private Limited |
| Religare Housing Development Finance Corporation Limited | GRUH Finance Limited | Reliance Home Finance Limited |
| GIC Housing Finance Limited | RAAS Housing Finance (India) Limited | Fullerton Home Finance Company Limited |
| PNB Housing Finance Limited | Fast Track Housing Finance Company Limited | Panthoibi Housing Finance Company Limited |
| Equitas Housing Finance Private Limited | Orange City Housing Finance Limited | Edelweiss Housing Finance Private Limited |
| North East Region Housing Finance Limited | DMI Housing Finance Pvt. Limited | Nivera Home Finance Ltd |
| DHFL Vyasa Housing Finance Limited | New Habitat Housing Finance and Development Limited | Dewan Housing Finance Corporation Limited |
| National Trust Housing Finance Limited | Cent Bank Home Finance Limited | Muthoot Housing Finance Company Limited |
| Capri Global Housing Finance Private Limited | Muthoot Homefin Limited | Capital First Home Finance Limited |
| Micro Housing Finance Corporation Limited | Can Fin Homes Limited | Mentor Home Loans India Limited |
| AU Housing Finance Limited | MAS Rural Housing and Mortgage Finance Limited | Aspire Home Finance Corporation Limited |
| Manappuram Home Finance Private Limited | Aptus Value Finance Corporation Limited | Aditya Birla Housing Finance Limited |
| Aptus Value Housing Finance India Limited | Aadhar Housing Finance Limited | Akme Star Housing Finance Limited |
The affordable housing scheme is gaining popularity as more and more individuals are easily affording a home for themselves both in the rural and urban areas. Under the Rural scheme, for the financial year 2016-17, the Government sanctioned 39 lakh homes out of which 19 lakh homes were constructed. Similarly, during the financial year 2017-18, 24 lakh homes were sanctioned out of which about 7 lakh homes have been constructed. In the urban sector, 39% of the houses which were sanctioned have been built. By the end of March 2019, a total of 79 lakh houses have been sanctioned by the Government but only 16 lakhs were built and 15.25 lakhs were occupied. So, though the numbers are small, the affordable housing scheme still has a long way to go. With the subsidised home loan available under the scheme, lower and middle income individuals can now dream of having their own home.
