Can I Sell PMAY Houses? And Other Important Questions
If you are looking to buy a house under the government Pradhan Mantri Awas Yojana, you can consider purchasing it under the Credit Linked Subsidy Scheme. In this article, we will talk more about the frequently asked question: Can I Sell PMAY Houses?
Check the basics of Pradhan Mantri Awas Yojana here.
Here are some major questions and answers related to PMAY scheme:
Q. What is PMAY?
A. PMAY stands for Pradhan Mantri Awas Yojana, a scheme designed to enable housing for all, including the middle class.
Q. What does CLSS stands for?
A. CLSS stands for Credit Linked Subsidy Scheme where the government chips in to reduce your Home Loan Burden.
Q. What are MIG, LIG, EWS, and LIG?
A. MIG 1: Middle Income Group (Income – INR 6 lac to INR 12 lac per annum)
MIG 2: Middle Income Group (Income – INR 12 lac to INR 18 lac per annum)
EWS: Economically Weaker Sections (Income – up to INR 3 lac)
LIG: Low Income Group (Income – up to INR 6 lac)
Q. How does the PMAY scheme work?
A. For instance, someone in the MIG category wants to purchase a house costing Rs. 60 lakh. After the mandatory minimum down payment of 20%, the recent balance can be arranged through a loan. But with PMAY scheme, a subsidy of 3% would be applicable till Rs 12 lakh; therefore, the lender’s home loan interest rate will be applicable on the balance of Rs. 36 lakh.
Q. What is the maximum limit of loan amount under PMAY?
A. There is no maximum limit on the loan amount. The amount of eligibility is determined by the bank based on a variety of criteria. But, the subsidy benefit is limited to a particular loan amount depending on the income category you fall under.
Q. What is the documentation required for the PMAY house?
A. There are two major documents to avail of this scheme- Aadhaar of all household members and the Notarized Affidavit cum Undertaking is mandatory. These documents need to be submitted to the branch office as per IIHFl Credit Policy.
Q. Is there a processing fee under the PMAY scheme?
A. No, there is a zero processing fee for home buyers availing a home loan under Pradhan Mantri Awas Yojana.
Q. Is there any size restriction for Houses availed under PMAY CLSS?
A. There is no size restriction for houses availed under this scheme. You can construct or buy as big a house as you want, but the PMAY scheme will only cover you for a carpet area of 30 sq. m. for the EWS Category and 60 sq. m. for the LIG category.
Q. What is the carpet area?
A. The area enclosed within the walls, actual area to lay the carpet. The thickness of the inner walls does not come under this area.
Q. If I already own one plot or kuccha house, can I apply for a subsidy?
A. As you do not own a Pucca house, you can apply for subsidy under the scheme subject to additional qualifiers like annual household income, property in urban/adjacent area etc.
Q. How many interest subsidies one gets under the PMAY?
A. The interest subsidies of 4% and 3% on loan amount up to Rs 9 lakh and Rs 12 lakh are admissible for MIG I and MIG II respectively. The benefit for these beneficiaries under CLSS works out a loan period of 20 years.
Q. Can I take the benefit under more than one component?
A. No, under this scheme, a beneficiary can avail the benefit of one component only.
Q. How can I get maximum subsidy benefits?
A. You are eligible for the maximum subsidy if the disbursed amount is equal to or more than s.l 6 lakhs in EWS/LIG category, 9 lakhs in MIG 1 category, 12 lakhs in MIG 2 category and loan tenure is of 20 years. In the case of Loan disbursement, the subsidy would be reduced proportionately.
Q. Will a person having a plot without construction be an eligible beneficiary?
A. Yes, you can be covered under subsidy for beneficiary led individual home construction scheme, if you are eligible under the scheme.
Q. Can I sell a PMAY house?
A. If you have purchased the house under the Pradhan Mantri Yojana, you cannot sell that property within five years of its buying. The main purpose of the PMAY is to provide homes to needy people. If people buy homes at cheaper loan rates under the scheme and sell it at market price to some property dealer, then the purpose of the scheme will remain unsaved. The government will soon introduce the provision of the lock-in period of five years for the houses purchased under the scheme.
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