The document outlines eligibility criteria and benefits for the Pradhan Mantri Awas Yojana (PMAY) home loan subsidy scheme aimed at providing housing for economically weaker and middle-income families in India. Eligible categories include economically weaker sections (EWS), low-income groups (LIG), and two middle-income groups (MIG I and MIG II) based on their annual income, with specific benefits and interest rates applicable to each group. Applicants must meet certain conditions, such as being Indian citizens, having female property ownership for EWS and LIG, and being the first property owner, while also providing necessary documentation for the application process.

1. ARE YOU ELIGIBLE FOR
A HOME LOAN SUBSIDY?
AreYou Eligible for Subsidy?

2. A home loan itself is a boon to the middle-class
people as it made the dream of owning a home
comes true. A subsidy on a home loan is not less
than icing on the cake. It is indeed news of great
relief for the low and middle income group
people.

3. A subsidy on a home loan is made possible by the
scheme of Government- Pradhan Mantri Awas
Yojana (Housing for all by 2022).This scheme is
announced by the Honorable Prime Minister
Narendra Modi in mid 2015.

4. A Brief on Pradhan Mantri Awas Yojana
( PMAY)
This is a scheme of Government of India to
ensure a home for all by 2022. Under PMAY
there is a scheme named- CREDIT LINKED
SUBSIDY SCHEME (CLSS) on home loans for
properties in urban market belonging to
Economically Weaker Section (EWS), Low
Income Group (LIG) and Middle Income Group 1(
MIG I) & Middle Income Group 2 (MIG II).

5. Category FamilyAnnual Income
EWS up to INR 3lakhs
LIG INR 3.01 lakhs to INR 6 lakhs
MIG I INR 6.01 lakhs to INR12 lakhs
MIG II INR INR 12 lakhs to INR 18 lakhs
The above mentioned four categories that are eligible for the subsidy on a
home loan are differentiated on the basis of their family annual income.

6. Eligibility for Getting The
Benefits of Subsidy
 People belonging to the above mentioned
sections are considered as eligible for the
subsidy.
 Age of the applicant must be not more than 70
years.
 Female property ownership is mandatory for
EWS and LIG sections.

7.  The applicant must be a citizen of India.
 Loan applicant should not have availed any
central or state government subsidy or benefit
for housing under PMAY.
 The property for which the subsidy is applied
must be the first property of the applicant.

8.  A subsidy is not applicable on renovation or
improvement loans for MIG I and MIG II.
 The property should be in urban areas as per
2011 census.
 Only one member of a family can apply for the
subsidy.

9.  A person belonging to ScheduledTribes and
Castes will also be eligible.
 Senior citizens and differently abled will be given
special priorities for ground floor housing.
 Aadhar card is mandatory for applying for this
scheme for all the categories.

10. Under the Credit Linked Subsidy Scheme (CLSS),
applicants from different category will enjoy the
subsidy in different percentages.
1) An applicant from EWS/LIG can claim a subsidy up
to 2.67 lakhs.
2) Interest subsidy at a rate of 6.5%* for a tenure of 20
years or tenure of loan can be enjoyed by EWS/LIG
category.

11. 3) The applicant from MIG I category can enjoy
Interest subsidy at a rate of 4% on home loans up
to Rs.9 lakh for a tenure of 20 years or tenure of
loan, whichever is lower.
4) Interest subsidy at a rate of 3%* on home loans
upto Rs.12 lakh for a tenure of 20 years or tenure
of loan, whichever is lower can be availed by MIG
II category applicants.

12. 5) Maximum interest subsidy can be availed by
MIG category is up to Rs 2.35 lakhs
6)The subsidy will be credited to the loan
account of the beneficiary which will reduce
the EMI.

13. You can apply for home loan subsidy from a primary
lending institution either it may be a bank or an
NBFC. If your application is eligible for the subsidy,
it will be forwarded to the Central Nodal Agency
(CNA). If CNA approves your application than the
subsidy amount will be disbursed to the lender
which will deduct the principal amount.Thus you
will have to pay a less EMI.

14. While applying for the subsidyYou will have to
furnish following documents along with the
application.
 KYC Documents & photograph
 Aadhar Card is mandatory
 Salary slip or Certificate & updated bank statement
for salaried applicants
 IncomeTax Returns of last two years and bank
statement
 Customer declaration undertaking

15. Applying for a subsidy under PMAY is very
simple as explained above. If you fulfill the
eligibility criteria of the scheme you can
easily apply for it and enjoy the benefits
without any inconvenience.