The Prime Minister’s Housing Scheme or PradhanMantri Aawas Yojana is a residential credit plan of the Indian Government for EWS / LIG/ MIG classes both in urban and rural sectors. The PMAY, which was launched in the year 2015, has aggressively turned into a revolutionary scheme in the country’s housing construction domain and has made the dreams of millions of families real by providing them with a home. This scheme is indeed in line with India’s vision of providing ‘Housing for all by the year 2022’ Recently Only the economic challenges faced by those who were earlier forced to pay high amounts towards rent seem to be solving themselves.
PradhanMantri Aawas Yojana has the following Goals:
The PradhanMantri Aawas Yojana is formulated with certain objectives that must fulfill the needs of people in India based on their age group. The scheme functions through four main verticals
- In-situ Slum Redevelopment (ISSR): This component stresses redeveloping the area of Slum dwellers through the use of land under slums by providing them with improved shelter through public-private sector partnership.
- Credit Linked Subsidy Scheme (CLSS): It gives interest rate subvents to EWS, LIG, and MIG categories for housing, purchase, construction, or enhancement loans.
- Affordable Housing in Partnership (AHP): There are public and private partnerships to come up with affordable housing projects for EWS citizens.
- Beneficiary-Led Construction (BLC): This scheme has a lot of benefits to families who are in a position to acquire land but they cannot fund the construction of a house. There is monetary support launched to construct or modernize houses on their land plots.
Eligibility Criteria for PradhanMantri Aawas Yojana
We need to discuss the various schemes under the PradhanMantri Aawas Yojana as the latter has clear guidelines about the income and the housing situations of the beneficiaries. However, for the Economically Weaker Section (EWS) the annual income should not exceed ₹ 3 lakhs and for the Lower Income Group (LIG) it should be from ₹ 3 lakhs to ₹ 6 lakhs. MIG I ranges from ₹6 lakh pa to ₹12 lakh per annum while MIG II ranges from ₹12 lakh pa to ₹ 18 lakh. Further, the applicant should not possess a pucca House anywhere in India and they should have not availed of any earlier housing scheme of the central government.
Subsidies and Financial Benefits Under PMAY
EWS/LIG: These groups are privileged to an interest subsidy of 6. Up to 5% on the housing loans which are up to ₹ 6,00,000/- for the maximum tenure of 20 years.
MIG I: Interest rate subvention is given on the loan amount up to ₹9 lakh is ₹4% a year.
Implementation Strategy and Achievements
At the local bodies of central and state governments, private developers, and financial institutions have a crucial role in implementing PMAY. Below are some of the reforms made by the government concerning the real estate sector out of which the Real Estate (Regulation and Development) Act, 2016 (RERA) stands most favorable for the formation of a transparent, responsible, and efficient housing market to cater to the objectives of PMAY.
Achievements to Date:
Over 1. The government of India has approved the construction of affordable houses under PMAY (Urban) till 2022 and 12 crore houses in total, out of which 50 lakh housing units have been constructed.
Rural counterpart known as PMAY (Gramin) has set an ambition to build 2 Note: The companies’ target is to construct 95 crore houses by 2022 out of which many have already been built.
In the In-situ Slum Redevelopment (ISSR) launched thousands of the poor living in the slums have been provided with new and improved houses or houses.
MIG II: For loans up to ₹ 12 lakh, the subsidy rate is 3%.
Process To Access Pradhanmantri Aawas Yojana
To be granted a PMAY loan, one should visit the main site that is dedicated to PMAY. Under the menu, click on “Citizen Assessment” and select the category according to the requirement like “For Slum Dwellers” or “Benefit under Other 3 Components.” When you input your Aadhaar number along with income, contact details, etc. Upon the completion of the form, one has to attach copies of the identification proof, income certificate, and property-related documents, if any. In case you have no internet access you can apply through Common Service Centre (CSC). When ascertained, the qualified candidates can get the approval and housing entitlement under the scheme.
Conclusion
Thus, the PradhanMantri Aawas Yojana holds the key to dreams of homeownership for millions of people in India. The provision of a wide range of interventions for affordable housing has filled the gap of supply and demand in the housing sector. Even though, the success rate of PradhanMantri Aawas Yojana cannot be fully denied due to the various problems encountered in implementation. The scheme under the government’s administration is still being adjusted through policy advances, development in technology, and even policy disclosure.
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