PM Awas Yojana : 4% Interest Rebate on Home Loan, know how to avail the benefit

PM Housing Scheme: The government led by Prime Minister Narendra Modi has given another major gift under the PM Housing Scheme. Now, under this scheme, an interest subsidy of up to 4% will be available on home loans. This scheme is particularly beneficial for those who are dreaming of building their own house but are unable to fulfill it due to their financial situation. This scheme will help millions of families realize their dream of owning a home.

Main objective of the scheme

The Prime Minister’s Housing Scheme (PMAY) was launched on June 25, 2015. Its main objective was to ensure housing for all by 2025. Under this scheme, financial assistance is provided to people from Economically Weaker Sections (EWS), Low Income Groups (LIG), and Middle Income Groups (MIG) in urban and rural areas for buying or constructing houses.

Benefit of 4% Interest Subsidy

Modi government has now announced an interest subsidy of 4% under this scheme. This subsidy will be available to those people who fall in the low income category and take home loan to buy or construct a house. This will reduce loan installments and also reduce the financial burden on people.

Who is Eligible for Subsidy ?

There are some important eligibility conditions to avail the benefit of interest subsidy under PM Awas Yojana:

  • Income Groups: This scheme can benefit people whose annual income ranges from 3 lakh rupees to 18 lakh rupees. According to this, people falling under the EWS, LIG, and MIG categories are eligible.
  • Priority to First-Time Homeowners: This scheme is for people who are planning to buy their first home. If you don’t already own a permanent house, you can avail the benefits of this scheme.
  • Houses in Women’s Names: The government has also stipulated that the ownership of the house should be in the name of women. This promotes women’s empowerment.

How to Apply Online or Offline

How to Apply Online :

  • Visit the Official Website: To apply for the PM Housing Scheme, you can go to the website pmaymis.gov.in.
  • Fill the Form: Fill in your personal information such as name, address, Aadhaar number, etc. in the application form provided on the website.
  • Upload Documents: Upload necessary documents with the application, such as Aadhaar card, income certificate, and a copy of your bank passbook.
  • Pay the Fee: Pay a small fee to complete the online application process.

How to Apply Offline :

You can also apply for this scheme by visiting your nearest Common Service Center (CSC) or bank branch. For this you will have to fill a form and submit the required documents.

How much will be the savings ?

The 4% interest subsidy under this scheme means that if you have taken a loan of 10 lakh rupees and were supposed to pay 8% interest on it, after this government scheme, you will only have to pay 4% interest. The direct benefit of this is that your monthly installments (EMI) will be significantly reduced, and the total loan amount will also decrease.

For example, if you have taken a loan of 10 lakh rupees for 20 years and you save 4% on the interest rate, your monthly installments could be reduced by about 2,000 to 3,000 rupees. This will lessen your financial burden and allow you to repay your loan more easily.

Main Points Related to the Scheme

  • Goal: To ensure housing for all by 2025.
  • Interest Subsidy: Interest subsidy of up to 4% on home loans.
  • Income Group: People with annual income ranging from 3 lakh to 18 lakh rupees can benefit.
  • Ownership in Women’s Name: To encourage women, the house ownership should be in the name of women.

Purpose of Government

The objective of PM Awas Yojana is to provide a house to every citizen of the country. The government has provided financial assistance to lakhs of families through this scheme so that they can build their dream houses. Interest subsidy will make it easier for people to repay the loan and they will be able to become owners of their homes as soon as possible.

Benefits of the Scheme

  • Assistance to Economically Weaker Sections: Under this scheme, economically weaker sections are receiving significant help from the government. This will assist them in fulfilling their dream of owning a home.
  • Interest Subsidy: The 4% interest subsidy will reduce monthly installments on home loans, providing relief to people.
  • Women’s Empowerment: The condition of having the house in women’s names will encourage women and enable them to become homeowners.