The Indian Government and its subordinates are in charge of making it easy for you to own a house. A government housing scheme saves you a lot of money while purchasing real estate and provides you with a house for a lesser rate.
You may visit the Indian banks or HFCs and register for the housing schemes provided by the government. Look into a few of the government housing programmes to find out how much less you can pay than the going rate for a property in India.
PMAY, or Pradhan Mantri Awas Yojana
The PMAY was created to help economically disadvantaged members of society. This comprises economically disadvantaged, middle-income, and low-income people (LIG). It aims to make homeownership more accessible to them. You may use this approach to save INR 2.67 lakh on your home loan interest. To take advantage of the program’s benefits, you must first qualify as a creditor.
What is the difference between receiving benefits in an urban or rural setting?
- Individuals who fall under the Low Income Group, or LIG, with annual household incomes ranging from 3 lakh to 6 lakh INR
- EWS (Economically Weaker Section) with an annual income of up to 3 lakh INR
- A person who earns up to Rs 12 lakh annually is qualified for a 4% loan subsidy under the Middle Income Group, or MIG 1. This assistance is given for loans up to INR 9 lakh. The maximum subsidy offered by CLSS is INR 2.35 lakh.
- According to the Middle Income Group, or MIG 1, a person earning up to INR 18 lakh can get a 3% subsidy. This subsidy is applied to a loan of up to INR 12 lakh. CLSS provides a maximum subsidy of INR 2.30 lakh.
For different sections, the interest subsidy on the PMAY scheme is:
- 6.40% for the Economically Weaker Section
- 6.40% for low-income groups
- 4.00% for Middle Income Group 1
- 3.00% for Middle Income Group 2
- The Gram Sabha itself will decide who gets what. They decide who is qualified based on data gathered at the federal level.
- They compile a list of the socially and economically marginalised groups in the country. The recipients’ list is then divided into groups according to the PMAY rural program.
- If the applicant’s name appears on the Gram Sabha’s publicly accessible list, they are eligible to apply for a house loan via the PMAY rural program.
The Scheme of the Maharashtra Housing and Area Development Authority
A fixed number of residences have been reserved for the scheme. They are distributed based on each applicant’s income. You can apply for a house loan under the programme if you are a Maharashtra resident with a valid domicile certificate. You must be at least 18 years old, possess a PAN card, and have a consistent source of income.
The income categories for flats are:
- Lower Income Groups (LIG), for people earning between INR 25,001 and 50,000 per month.
- Middle-Income Groups (MIG), for people who earn between INR 50,001 and 75,000 per month.
- High-Income Groups (HIG), for people who make more than INR 75,000 per month.
How Do You Apply?
Go to the Maharashtra Housing and Area Development Authority’s website. Fill out the application, choosing your income level and lottery scheme. Then print your application acknowledgment form and submit your online lottery registration payment.
You can apply for the PMAY scheme if you wish to boost your affordability for a property.
The following documents must be submitted:
- ID card, Aadhaar
- certificate of domicile
- the voter ID card
- birth registration
- a driving licence
- a diploma from a school
- Card PAN
The DDA Housing Scheme
Residents of Delhi are provided with schemes to afford a house of their own based on their income, like in other states.
The DDA programme was initiated in March 2019. It offers five thousand flats in some parts of South Delhi. These parts include Vasant Kunj, Rohini Sector 34, and Kalkaji.
If you are of Indian origin and over the age of 18, you may apply for this scheme. You should belong to one of the categories among LIG, EWS, MIG, and HIG.
There are different banks listed on the DDA website. You can submit your application for this scheme at one of those banks.
Enter the DDA website, complete the application form, and then make payment. Depending on which category you fall under, different registration fees apply.
For different categories of flats, the registration fee is listed below:
- For HIG flats, the fee is INR 2 lakh.
- For MIG flats, the fee is INR 2 lakh.
- For LIG flats, the fee is INR 1 lakh.
- For 1 BHK Flats, the fee is INR 15,000
- For Janta Flats, the fee is INR 10,000.
- For EWS-reserved flats, the fee is INR 25,000.
You can quickly take ownership of the apartment if you prevail at the draw. By submitting documents like your PAN card, Aadhaar card, voter’s ID card, bank statements, and ITR report, you can complete the necessary formalities.
NTR Urban Housing Scheme
The NTR Housing Scheme was initiated in 2016. It aims to assist those sections of Andhra Pradesh that are underprivileged. They can take advantage of this by purchasing affordable housing.
In 2018–19, the Andhra Pradesh government distributed 15,091 houses through the Pradhan Mantri Awas Yojana (PMAY) and NTR (Urban) Nagar schemes.
Any resident of Andhra Pradesh not availing of a housing scheme funded by the government can take advantage of this scheme. They are eligible to apply for this housing scheme. You must hold a valid BPL or white ration card if you wish to apply for this housing plan.
Under this program, you’ll get a subsidy of INR 2.5 lakh. In addition, if you are an SC or ST beneficiary, you will receive an additional INR 50,000.
Haryana Housing Board Housing Scheme
This scheme aims to help the sections of society that are weak economically. This plan offers freehold residential and commercial building lots for allotment and construction within the state.
To benefit from the housing program, you must enter a lottery according to the conditions and deadlines. You must pay a participation fee. Your family’s annual income cannot exceed INR 3 lakh. You will have access to a freehold plot if you win the drawing.
Kerala Housing Board housing scheme
The Kerala State Housing Board was established in 1971. Various housing construction and home loan schemes were implemented by the board. These programmes are designed to assist the economically disadvantaged in meeting their housing needs.
To know in detail about the Kerala Housing Board housing scheme, go to their official website.
The government implements various government housing schemes to assist citizens. These schemes provide many subsidies and financial assistance to citizens, which can aid them in purchasing their first home. Different states have different criteria for selecting the beneficiaries of the scheme. To read in-depth, you should go to their official website.
Take advice from professionals like Piramal Finance to better understand the eligibility criteria and compare the different home loan offers so that you can make an informed decision.