Who is eligible for Pradhan Mantri Awas Yojana (PMAY)?

With the mission of “Housing for All”, Government of India started the Pradhan Mantri Awas Yojana (PMAY). However, there are many doubts for loan seekers like who is eligible for Pradhan Mantri Awas Yojana (PMAY)? What is the eligibility to apply under Pradhan Mantri Awas Yojana (PMAY)?

Note:-Refer our latest post on Pradhan Mantri Awas Yojana’s eligibility at “Who is eligible for Pradhan Mantri Awas Yojana (PMAY) 2020?

Note:- You can now check your PMAY application status online. Refer the post “How to check PMAY Scheme status online easily?” for more details.

In this post, let me clear all those doubts by discussing about who is eligible for Pradhan Mantri Awas Yojana (PMAY).

Schemes under Pradhan Mantri Awas Yojana (PMAY)

Currently, there are three schemes under which you can apply for Pradhan Mantri Awas Yojana (PMAY). They are as below.

• EWS (Economically Weaker Sections)/LIG (Low Income Group)
• CLSS (MIG-I)
• CLSS (MIG-II)

Who is eligible for Pradhan Mantri Awas Yojana (PMAY)?

Now let us discuss the eligibility of the applicant for Pradhan Mantri Awas Yojana (PMAY) under each such scheme separately.

# Eligibility of Pradhan Mantri Awas Yojana (PMAY) under EWS/LIG Scheme

• You/your family/household should not own a pucca house in any parts of the country either in his name or any of his family member’s name
• One adult female membership is mandatory in the property ownership.
• The property should be co-owned by a female member of the family. However, this condition will not be made mandatory in cases of construction of house on an existing plot or extension/renovation of existing Kuccha/Semi-pucca house.
• Location of the property should fall under all statutory towns as per 2011 census and their adjacent planning area (updated by the government from time to time).
• Here, family means husband, wife, unmarried sons and/or unmarried daughters.
• Whoever applying under EWS scheme must have an annual income up to Rs.3 lakhs.
• Whoever applying under EWS scheme must have an annual income between Rs.3 lakhs to Rs.6 lakhs.
• The scheme will be for the period of 17th June 2015 to 31st March 2022.
• The carpet area of the house under these Schemes should up to 30 sq. mts. for EWS beneficiaries and upto 60 sq. mts. for LIG beneficiaries.
• Meaning of Carpet Area-The net usable floor area of an apartment, excluding the area covered by the external walls, but includes the area covered by internal partition walls of the apartment.
•  This scheme is available for housing loans availed for acquisition/construction of house and repair/extension of Kucha/Semi Pucca house.
• The maximum term of the loan is 20 years.
• The maximum age limit is 70 years of age, at the end of the repayment period.
• In the event of default in repayment of the loan by the borrower/beneficiary to the Bank and the loan becoming
  Non Performing Assets(NPA), the Bank will proceed for recovery of dues through such measures as considered
  appropriate, including foreclosure of the property. In all such cases, the amount of the recoveries will be
  charged to the subsidy amount on a proportionate basis(in proportion to the loan outstanding and subsidy
  disbursed).

# Eligibility of Pradhan Mantri Awas Yojana (PMAY) under CLSS (MIG-I) Scheme

• You must not own a pucca house either in his/her name or in the name of any member of his/her family in any part of India.
• You must not have availed any central/state assistance under any housing scheme from Government of India ever.
• Adult female membership ownership in property is desirable.
• Location of the property should fall under all statutory towns as per 2011 census and or adjacent planning area (updated by government time to time).
• The credit linked subsidy @ 4% will be available for loan amount up to Rs.9 lakhs in case of MIG-I. However, the Banks can sanction Home Loans more than Rs.9 lakhs but the subsidy will be restricted to Rs. 9 lakhs only.
• Loan tenure is 20 years. However, Banks can sanction loans for a maximum tenor of 30 years but the loan has to be repaid before the borrower attains the age of 70 years.
• You are eligible to apply for MIG-I if your annual income is from Rs 6,00,001 to Rs. 12 lakhs.
• Here, family means husband, wife, unmarried sons and/or unmarried daughters.
• An adult earning member (irrespective of marital status) can be treated as a separate household and can avail subsidy independently.
• In case of married couple, either of the spouses or both together in joint ownership will be eligible for a single house subject to income eligibility of the household under the scheme.
• The carpet area of house under this Scheme should be up to 120 sq. mts. (1292 sq ft) for MIG-I beneficiaries.
• Meaning of Carpet Area-The net usable floor area of an apartment, excluding the area covered by the external walls, but includes the area covered by internal partition walls of the apartment.
• Special loan offers of banks like SBI MaxGain will not be eligible for this scheme.
• All loans accounts under the Scheme will be linked to Aadhaar.
• Applicable in case of Repair and Renovation.
• Total deduction from Gross income, including proposed EMI on Home Loan, not to exceed 50% of the Gross
  Income. Net take home pay should not be less than 50% of the Gross Income of the applicant/s for loan limit
  up to Rs.10 Lacs. For a loan over Rs.10 Lacs, total deduction from Income, including EMI on proposed home loan not to exceed 60% of the Gross Income of the applicant.
• In the event of default in repayment of the loan by the borrower/beneficiary to the Bank and the loan becoming
  Non Performing Assets(NPA), the Bank will proceed for recovery of dues through such measures as considered
  appropriate, including foreclosure of the property. In all such cases, the amount of the recoveries will be
  charged to the subsidy amount on a proportionate basis(in proportion to the loan outstanding and subsidy
  disbursed).

# Eligibility of Pradhan Mantri Awas Yojana (PMAY) under CLSS (MIG-II) Scheme

• You must not own a pucca house either in his/her name or in the name of any member of his/her family in any part of India.
• You must not have availed any central/state assistance under any housing scheme from Government of India ever.
• Adult female membership ownership in property is desirable.
• Location of the property should fall under all statutory towns as per 2011 census and or adjacent planning area (updated by government time to time).
• The credit linked subsidy @3% for Rs 12 lacs in case of MIG-II. However, the Banks can sanction Home Loans more than Rs.12 lakhs but the subsidy will be restricted to Rs.12 lakhs only.
• Loan tenure is 20 years. However, Banks can sanction loans for a maximum tenor of 30 years but the loan has to be repaid before the borrower attains the age of 70 years.
• You are eligible to apply for MIG-II if your annual income is from Rs 12,00,001 to Rs. 18 lakhs.
• Here, family means husband, wife, unmarried sons and/or unmarried daughters.
• An adult earning member (irrespective of marital status) can be treated as a separate household and can avail subsidy independently.
• In case of a married couple, either of the spouses or both together in joint ownership will be eligible for a single house subject to income eligibility of the household under the scheme.
• The carpet area of house under this Scheme up to 150 sq. mts. (1614 sq ft) for MIG-II beneficiaries.
• Meaning of Carpet Area-The net usable floor area of an apartment, excluding the area covered by the external walls, but includes the area covered by internal partition walls of the apartment.
• Special loan offers of banks like SBI MaxGain will not be eligible for this scheme.
• All loans accounts under the Scheme will be linked to Aadhaar.
• Applicable in case of Repair and Renovation.
• Total deduction from Gross income, including proposed EMI on Home Loan, not to exceed 50% of the Gross
  Income. Net take home pay should not be less than 50% of the Gross Income of the applicant/s for loan limit
  up to Rs.10 Lacs. For a loan over Rs.10 Lacs, total deduction from Income, including EMI on proposed home loan not to exceed 60% of the Gross Income of the applicant.
• In the event of default in repayment of the loan by the borrower/beneficiary to the Bank and the loan becoming
  Non Performing Assets(NPA), the Bank will proceed for recovery of dues through such measures as considered
  appropriate, including foreclosure of the property. In all such cases, the amount of the recoveries will be
  charged to the subsidy amount on a proportionate basis(in proportion to the loan outstanding and subsidy
  disbursed).

Let me explain the same using the below tabular sheet.

GST rate for homes purchased under the Credit-Linked Subsidy Scheme (CLSS)

Effective from 25th January 2018, if you purchased the property under the Credit-Linked Subsidy Scheme (CLSS), then the applicable GST rate will be 12%. The effective rate of 8% after deducting one-third of the amount charged for the house towards the cost of land.

What is Credit-Linked Subsidy Scheme (CLSS)?

If you purchased the property under the schemes like:-

• Economically Weaker Sections (EWS)
• Lower Income Group (LIG)
• Middle Income Group-1 (MlG-1) or Middle Income Group-2 (MlG-2) under the Housing for All (Urban) Mission/Pradhan Mantri Awas Yojana (PMAY Urban).

Refer the complete post on GST for Property at “GST rate on real estate or under construction property purchase“.

Hope this post will clear the doubts about who is eligible for Pradhan Mantri Awas Yojana (PMAY) or eligibility conditions for Pradhan Mantri Awas Yojana (PMAY).