PM Awas Yojna: Govt raises carpet area up to 2100 sq ft for interest profit.

Bhubaneswar: If your yearly income is up to Rs 18 lakh, you’ll be able to Rs 2.3 lakh upfront interest financial support even for buying a 2,100 sq feet apartment or flat or house with three or four bedrooms.

The Govt. has improved the carpet area of houses eligible for interest benefit under the Pradhan Mantri Awas Yojna (PMAY) for the middle-income group or MIG by 33 %  as it looks to carry more beneficiaries under its fold and achieve the target of ‘housing for all’ by 2022.

While such a large residence may not be within reach of someone earning Rs 18 lakh in Delhi or Mumbai, the choice is aimed at increasing the beneficiaries in tier three and four cities and small municipal & development areas, where housing price is much lesser.

Pradhan Mantri Awas Yojna is offered for three categories of first-time residence buyers. The govt. had become wider the beneficiaries net by including two sub-categories of MIG to obtain the interest subsidy in December 2016 based on their yearly income.

Earlier, houses with a carpet area up to 1.291 sq ft and 1.614 sq ft for MIG-I and MIG-II respectively were eligible for interest subsidy. Now, these have been increased to 1,722 sq ft and 2,153 sq ft respectively.

 

Family with earning up to Rs 06 Lakh to Rs 12 Lakh comprise MIG-I phase, whereas those earning Rs 12 Lakh to Rs 18 Lakh comprise MIG-II phase.

The government provides interest subsidy of 4% for Rs 9 lakh in the case of MIG home buyers and 3% for Rs 12 lakh in the case of MIG-II home buyers.

Hardeep Puri’s(Housing and urban affairs minister) decision comes after service got portrayals from builders and residence buyers from smaller towns that they were not eligible to get the interest advantage since the plot or the apartment size were above the former arranged norms.