HOUSING SUBSIDY

Under the Pradhan Mantri Awas Yojana (PMAY), the central government has offered Indian citizens a subsidy of Rs. 2.43 lakhs to qualifying families. Here are a few questions and answers about the scheme.

What is the eligibility criteria for the PMAY subsidy?

• The purchaser and their family should not have another house under their name.
• Annual household income must not exceed Rs. 18 lacs. A “Household” is defined a husband, a wife and any unmarried children.
• The house should be purchased on joint registrations of husband wife, or on just the name of the wife.
• Carpet area of the house purchased should be less than 60 sqmtr.
• The scheme can be used to purchase only one unit per family.
• The subsidy will always be paid via the provider of housing loan.

What is the eligibility criteria for the PMAY subsidy? Documents required for the subsidy are:

• Simple undertaking that states the individual has no house in his\her name as well as his marital status.
• Declaration stating that the household income is below 18 lakhs.
• Aadhar card or Voter’s ID card or PAN card.

I am Single, can I still benefit from PMAY?
Yes, you may apply for the PMAY subsidy if you are single, however there are different criteria. Unmarried men can make use of the PMAY subsidy if their mother is the co-applicant. In some cases they may apply when there is no surviving woman in the family. Unmarried women unfortunately cannot apply for the PMAY subsidy.

Can I still get PMAY if I am not applying for a LOAN?
In order to get PMAY subsidy you must successfully qualify for a home loan.

Will I get the subsidy directly from the government?
The entire subsidy will be given upfront to the housing finance company. This will result in a reduction in the housing loan amount and consequently the EMI will also reduce.

Am I eligible for PMAY if I have a house in my native place or village?
If the roof of your village house is not made of concrete, it is not considered a ‘pucca’ house, but you will still qualify for the housing subsidy.

How can I apply for PMAY?
STEP 1: First you book a flat and apply for a housing loan
STEP 2: Bank sanctions your loan
STEP 3: Registration of the agreement
STEP 5: Your housing finance company / bank submits the claim of the subsidy to National Housing Bank
STEP 6: National Housing Bank transfers the amount to your bank
STEP 7: Bank deposits the subsidy to your loan account
STEP 8: Loan reduces to the extent of the subsidy received and the reduced EMI is set 

How long does it take to receive the Rs. 2.43 lacs Subsidy?
The bank will receive the subsidy within 3 months of the application. 

Is PMAY applicable to widows or divorcees?
Yes, both widows and divorcees can apply.

What is there a age limit to avail PMAY?
There is no age limit, as long as however you should be eligible for a Home Loan.

What happens if I do not qualify for the PMAY?
If you do not qualify for PMAY, you may still qualify for a housing loan. Sheel Kunj Enclase has partnerships with over 20 housing finance companies who have created flexible loan products so that no prospect is ever refused a loan.