PMAY refers to Pradhan Mantri Awas Yojana. Launched in 2015, it is a social welfare initiative with a mission to provide affordable housing options to individuals belonging to specific income groups and other minority communities by 2022. The mission aims to support the construction of houses up to 30 square meter carpet area with necessary civic infrastructure.
The mission is in force in 4041 statutory towns as per the Census data of 2011. The government hopes that this project will be successfully addressing the need for quality and affordable housing in India that has a longstanding problem of increasing population and homelessness. There are two categories of PMAY:
-Pradhan Mantri Awas Yojana Urban (PMAY-U)
-Pradhan Mantri Awas Yojana Gramin (PMAY-G)
Under PMAY Urban, the Government will provide assistance to the following verticals:
-Credit Linked Subsidy scheme
-Partnered Affordable housing
-Rehabilitating the slum dwellers
-Assist with individual house construction or enhancement
Home Loans Under PMAY Urban
Under PMAY Urban, the Government provides an interest subsidy to the eligible beneficiaries under the program called Credit Linked Subsidy scheme. The eligible beneficiaries of this scheme are determined on the basis of the annual household income. Additionally, the beneficiaries should not be owners of an existing pucca house in any part of the country. As on the date, the beneficiaries who meet the following income criteria are eligible to avail of the benefits under CLSS:
-Economically Weaker Section or Lower Income Group - Annual income between Rs. 3 Lakh and Rs. 6 Lakh.
-Middle Income Group I - Annual income within Rs. 6 Lakh - Rs. 12 Lakh.
-Middle Income Group-II - Annual income within Rs. 12 Lakh - Rs. 18 Lakh.
If the beneficiary is from the Economically Weaker Section or Low Income Group, at least one female member must be registered as the owner of the new house.
Features of PMAY Urban
PMAY Urban is a breath of fresh air to curb the growing problem of homelessness. It is estimated that India’s population will reach 814 million by 2050. In the past few years, a key challenge faced by the Government is to provide affordable housing options to those who have limited resources. PMAY Urban is the step in that direction to counter the problem through innovative solutions that include:
-Granting an interest subsidy on the amount of housing loan availed for purchasing/constructing/extending a house;
-Rehabilitating the slum dwellers through In Situ redevelopment
-Extending financial assistance for beneficiary led construction or enhancement of a house
-Encouraging housing for all notwithstanding the gender, sexual orientation, the caste of the homeowner
-Ensuring that the benefits are extended to the minorities of the society including women, economically backward groups, Scheduled Castes, and Scheduled Tribes, trans-genders, and senior citizens.
Benefits of PMAY Urban
Set out below is a snapshot of the various benefits offered by PMAY Urban:
Housing options for everyone
As stated above, the lack of affordable housing options and adequate infrastructure has been one of the long-standing problems of the Indian society. PMAY Urban is an initiative to significantly improve the quality of life for individuals who do not have adequate means. PMAY Urban reinforces the concept of living with dignity which is an integral part of the right to life.
Extending benefits to women
PMAY Urban accords a preference to women: as per the current regulations, if a beneficiary belongs to Economically Weaker Sections or Low Income Group, the ownership of a house should be in the name of at least one female member of the family.
Interest subsidy to certain sections of the society
Typically, the interest payable on housing loans is very high. That’s why PMAY Urban offers an interest subsidy. Home loan borrowers who belong to Economically Weaker Sections, Lower Income Group or the Middle Income Group are eligible for interest concessions on housing loans. Such benefit is available where the beneficiary satisfies the income eligibility criteria and is not an owner of a pucca house in any part of India.
Eligibility for PMAY Urban
If you intend to be a beneficiary of PMAY Urban, you must belong to either the Economically Weaker Section or Middle Income Group or Low Income Group. Additionally, for the credit-linked subsidy scheme, the beneficiaries must fulfill the following annual income thresholds:
-Economically Weaker Section or Lower Income Group - Annual income between Rs. 3 Lakh and Rs. 6 Lakh.
-Middle Income Group I - Annual income within Rs. 6 Lakh - Rs. 12 Lakh.
-Middle Income Group-II - Annual income within Rs. 12 Lakh - Rs. 18 Lakh.
Beneficiaries should not be owners of any pucca house in any part of India.
Documents Required for PMAY Urban
The supporting documents for PMAY Urban application are as follows:
Documents for proof of identity:
-PAN card. This is a mandatory requirement
-Any of the following documents: Voters ID, Aadhar Card, Passport, Driving license, Photo credit card, Photo identity issued by the Government, a letter from a recognized public authority or public servant that verifies the identity of the customer with a photograph no older than 30 days.
Document for proof of address:
Any of the following documents can be provided:
-Letter from a recognized public authority or public servant verifying the identity and residence of the customer
-Rent agreement
-Life Insurance Policy
-Residence address Certificate
-Voter card
-Aadhar card
-Passport
Documents for proof of income:
Any of the following documents can be provided:
-Last six months bank statement
-ITR receipts
-Salary slips for the last two months
Proof of purchase of the property (if applicable):
-Sales Deed
-Sale/ Purchase agreement
-Property registration certificate (if available)
-Copy of Receipt/(s) of payment/(s) made to the developer (if applicable)
In the event the beneficiary has business establishments, the following documents should be furnished:
If you have a business entity, the following documents will be required for the address proof of such entity:
-Shops & Establishment Certificate
-Trade License Certificate
-SSI Registration Certificate
-PAN Card/Sales Tax/ VAT Registration Certificate
-Partnership Deed (for firms) / Memorandum of Association (MOA) for companies
-Export-Import Code Certificate/Factory Registration Certificate
-Professional qualification Certificate and Degree Certificate for Professionals
-SEBI Registration Certificate
-Registration No issued by ROC
Beneficiary list of PMAY Gramin
The list of beneficiaries for PMAY Gramin is prepared on the basis of the data available in the Socio-Economic Caste Census of 2011 (SECC). The census data provides useful insights into the problem of homelessness. On the basis of the data, the households that do not have any house and 0,1 and 2 kutcha wall and kutcha roof houses will be targeted. The final list of beneficiaries for PMAY Gramin will be prepared on the basis of inputs received from panchayats and gram sabhas. If anyone has any grievance in relation to the beneficiary selection process, an appellate process has been established.
Mandatory conditions for becoming a beneficiary of PMAY Gramin
In order to become a beneficiary of PMAY Gramin scheme, the applicant must fulfill the following criteria:
-Should belong to scheduled tribe, scheduled caste, rural households that are below the poverty line, or Economically Weaker Section or the Lower Income Group.
-The beneficiaries must include a husband, wife, and unmarried children. The family should not be owners of an existing pucca house in any part of India.
-The annual income of the applicant should be between INR 3 Lakh and INR 6 Lakh
-Widows and next-of-kin to defense personnel or paramilitary forces who are killed in action and ex-servicemen are also eligible for the benefits of PMAY Gramin irrespective of the annual income
How to apply for PMAY Urban
You can apply for the benefits under PMAY Urban by following the steps below:
Online application:
-Log on to http://pmaymis.gov.in/
-Click the tab titled 'Citizen Assessment.' You will see a dropdown menu that will include 'For slum dwellers' and 'Benefits under the other three components.' Choose the appropriate tab.
-You will be redirected to a new page where you need to provide your Aadhaar card number and name as per your Aadhaar card. You will also find an option to enter your Virtual ID. Virtual ID refers to a revocable 16-digit random number that is mapped with the Aadhaar number. You can use your VID in lieu of the Aadhaar number for authentication.
-Once the details are provided, you will be redirected to the application page. You will need to enter personal details such as father’s name, bank account number, income details, permanent address, etc. You will also need to select the component of PMAY under which you are seeking the benefits.
-Once you have entered all the details, click on ‘Save’ to save the details of the application. You will also get a prompt for entering the Captcha code and click the ‘Save’ button again to save the application. You can take a printout of the application.
Offline application:
-Visit a Common Service Centre (CSC), which is operated by the State Governments or a PMAY listed bank to fill in the application.
-Provide supporting documents for identity, income, etc.
For offline applications, a registration fee of INR 25 plus GST is payable.
How to check PMAY Urban status
It is very easy to track your PMAY Urban application.
Log on to the portal: https://pmaymis.gov.in/Track_Application_Status.aspx.You can track your application by either keying in your name, father’s name, and mobile number or use the Assessment ID of your application.
You can also track the progress of your application by logging on to:
https://pmaymis.gov.in/Open/Find_Beneficiary_Details.aspx
You will need to enter your Aadhar number and press Submit. The details of your PMAY status will be displayed on the screen.
You can also use toll-free numbers to call the National Housing Bank (NHB) or Housing and Urban Development Corporation (HUDCO) to track your application. The numbers are as below:
-1800-11-6163 (Urban, HUDCO)
-1800-11-3388(Urban, NHB)
-1800-11-3377 (Urban, NHB)
FAQs
Rajesh wants to avail of the credit-linked subsidy. He is planning to apply for a home loan. Is the subsidy provided only when the price of the property I intend to purchase is above beyond a specific amount?
The subsidy is not linked to the price of the property. Rajesh will be eligible to receive the support if he fulfills the eligibility criteria, and the loan is within the threshold.
Who is a beneficiary family?
A beneficiary family consists of husband, wife, and unmarried children. The beneficiary family should not own a pucca house in the name of any member of the family in any part of India.
What is the definition of the slum as per PMAY?
Under the guidelines, a slum has been defined as a compact area of at least 300 population or about 60-70 households of poorly built congested tenements, in an unhygienic environment usually with inadequate infrastructure and lacking in proper sanitary and drinking water facilities
Is there any category of beneficiaries that will receive preference for Affordable Housing through Credit Linked Subsidy Scheme?
Yes, under CLSS a preference will be given to such beneficiaries who are manual scavengers, women, individuals belonging to scheduled castes or scheduled tribes or other backward classes, other minorities, persons with disabilities, and transgender.
What is the definition of carpet area under PMAY?
Carpet area has been defined as the area enclosed within the walls, actual area to lay the carpet. The carpet area excludes the thickness of the inner walls.
Does the Central Government provide any support for the in-situ rehabilitation of the slums?
Yes, the Central Government will provide a slum rehabilitation grant of INR 1 lakh per (on an average). The respective states and Union Territories are permitted to utilize the grant for other slums that are being redeveloped to provide housing options to the slum dwellers. However, this excludes slums that are on private land. State governments and Union Territories are also permitted to spend more than INR 1 lakh on some projects and less than INR 1 Lakh on other projects.
How does the Government determine which cities are eligible to be covered under PMAY?
As per the current guidelines, all statutory towns are eligible to receive the benefits of PMAY. The cities are decides based on the discretion of the State Government/ Union Territory, as the case may be. Class I cities that are covered under the Slum Free City Plan of Action will be considered on priority.
The implementation of PMAY requires the cooperation of both the Central Government and the State Government. What is the method of implementation?
The steps of implementation are described below:
-A Memorandum of Agreement will be executed between a State Government/ Union Territory and the Central Government.
-The State Government/ Union Territory will prepare a proposal to identify the cities that should be included under PMAY. The proposals should also contain an assessment of the housing and resources requirement.
-A demand survey will be undertaken by the State Government/Union Territory to assess the actual demand for housing.
-The next step is preparing Housing for All Plan of Action (HFAPoA). This plan should contain the demand for housing by eligible beneficiaries in the city along. It should also set out the kind of assistance (out of the four verticals) that can be provided.
-The next step is the preparation of the Annual Implementation Plan on the basis of the findings of HFAPoA. The implementation plan should provide the necessary milestones up to 2022. For larger cities, the implementation plan can be prepared at the ward/zone level. This should be submitted to the Ministry of Housing and Urban Poverty Alleviation.
-Based on the contents of the HFAPoA, each city will prepare a Detailed Project Report (DPRs) under each vertical of PMAY. The DPRs should be approved by the State Level Sanctioning and Monitoring Committee. The provisions of the City Development Plan, City Sanitation Plan, etc. should be taken into account while preparing HFAPoA.
The PMAY guidelines refer to Technology Sub-Mission. What is the utility of the same?
Technology submission will facilitate the adoption of modern, disaster resistance, environmental-friendly technologies and building material for faster and quality construction. It is also helpful in designing and building plans.
Who is the owner of the houses that are built under the aegis of a slum redevelopment plan?
The methodology of deciding the ownership rights of the houses to be allotted under HFAPoA will be as per the discretion of the State Government/Union Territory, as the case may be. Suitable restrictions may be imposed on the transfer restrictions of such properties.
Is it possible to club various slums together to receive the benefits of PMAY?
Yes, State Governments may in their discretion club the clusters of slums for in-situ development in order to make them financially and technically viable.
What are the mandatory conditions prescribed by PMAY in order to facilitate the growth of affordable housing?
PMAY prescribes the following conditions:
-State/UTs must make suitable changes in the procedure and rules to bypass the need for a separate Non-Agricultural (NA) Permission if land already falls in the residential zone earmarked in Master Plan of city or area.
-States/UTs shall prepare/amend their Master Plans earmarking land for Affordable Housing.
-There should be a single-window, time bound clearance for layout approval and building permissions at the Urban Local Body level.
-The existing rental laws should be amended on the lines of model Tenancy Act which has been prepared by the Ministry of Housing and Urban Poverty Alleviation.
-If the need arises, the State government/Union Territories will provide FAR/FSI/TDR and relaxed density norms for slum re-development and low cost housing.
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