What is the Advantage of the Pradhan Mantri Awas Yojana Home Loan?

Posted by Sarita Yadav on February 20th, 2021

n today’s time, managing the finances and creating a living out of your job has become very difficult nowadays. People work day and night very hard and hardly get benefit out of it. They have to think about where to spend and where not to. Especially the people who have a lower grade job or do not have a fixed salary. People belonging to the economically weaker section of the society or who are below the poverty line face a problem in purchasing something big like a house. Having a home is a dream of every person.

Looking into the economic condition of the society, the government has come up with a scheme called Pradhan Mantri AwasYojna. It stands for “housing for all”. The Pradhan Mantri Awas Yojna Rural Home loan came into effect from 17.06.2015. According to the scheme, the interest subsidy will be provided on housing loans for the acquisition/construction of houses. The Credit Linked subsidy would also be available for the home loan availed for new construction and addition of rooms, kitchen, toilet, etc to the existing house as incremental housing. It is the home improvement loans.

The scheme was launched by the government of India to boost the affordability of houses against the inflated real estate sector. PMAY home loan aims at achieving the objective of “Housing for all” by 31st March 2022. It aims at constructing around 20 million houses across the nation.

The beneficiaries of the PMAY home loans comprise of:

• A beneficiary family will comprise of wife, husband, unmarried daughter, or son.
• An adult earning member (irrespective of marital status) can be treated as a separate household owner.

There are two parts of the Pradhan Mantri AwasYojna that are:

• Pradhan Mantri Awas Yojana Urban (PMAY-U): It contains around 4331 towns and cities under this scheme. It includes urban development authority, special area development authority, notified planning, industrial development authority, etc. These are responsible for urban planning and regulations.
• Pradhan Mantri Awas Yojana Gramin (PMAY-G): It was earlier known as Indira Awas Yojana. These are a home loan for rural. It targets promoting affordability and accessibility of housing for all rural India except for Chandigarh and Delhi. The objective is to provide financial assistance to the homeless and those residing in decrepit houses to assist them in the construction of pucca houses.

If you are dreaming to take your own house, Shubham home loan can provide you with easy home loans.  They have disbursed an amount of up to 3000 crores and above. They have 84 branches all over India and is spread across 73 cities and 9 states. The company provides formal housing credit to those with informal incomes. They are among the first organization in India to transcend from document-based underwriting to customized credit programs for each customer. So, what are you waiting for? Apply for home loans today.