Now, in Noida, Greater Noida and Yamuna Expressway, home buyers can benefit from up to 2.5 lakh rupees. Indeed, these areas of NCR are being included for the first time in the Prime Minister’s Housing Scheme (PMAY). Earlier, they were not considered to be an interest subsidy city under the PMAY guidelines. In the existing guidelines of PMAY, the development authority like Noida or Greater Noida can not be given subsidy under the Prime Minister’s Housing Scheme on the interest of home loan taken for the purpose of buying a house in notified areas. According to the existing instructions, legalized in the 2011 census and notified cities by the state governments will be subject to PMAY. In the 2011 Census, 4,000 cities have validity.
Due to this rule of the Ministry of Housing and Urban Poverty Alleviation, home buyers could not avail of PMAY from Noida, Greater Noida and Yamuna Expressway. A senior official of HDFC Bank said that the finance companies of the financing companies had to sweat to explain that according to the 2011 census noida or Greater Noida is a city.
Joint Secretary Amrit Abhijat in the Housing Ministry said that when he came to know about this problem, he worked rapidly to amend the guidelines, so that the notified areas could be brought under the PMAY by the Development Authorities. This scheme is a key component of Prime Minister’s ambitious plan to provide home to all by 2022.
This year, the central government under the scheme launched in 1 January provides a subsidy of Lgnewale interest on home loans up to Rs 9 lakh per annum Commaiwalon of up to Rs 12 lakh 4 percent. However, annual income of Rs 18 lakh is given interest subsidy of 3 per cent on home loans up to Rs 12 lakh. The plan is to get 6.5 percent subsidy on interest on home loans up to Rs 6 lakh per annum income less than Rs 6 lakh. Government full amount of subsidy is provided directly to the bank.
According to the existing interest rates on home loan, under the PMAY, benefits of 2.40 lakh to 2.55 lakh rupees are available. If someone takes home loan of Rs 30 lakh for 20 years on a loan of 8.35 percent, then if the subsidy is received under PMAY, its EMI will be Rs 23,600 and not Rs 25,750. The special thing is that even if someone wants to pay the full dues of the bank after 6 months of taking a loan, then it still gets the benefit of 2.5 lakh rupees.
Under the scheme, the government has so far paid Rs. 750 crores to 43,000 home buyers. CREDAI and its chairman Gitambar Anand have earlier requested the Ministry of Housing to end the problems arising out of the definition of ‘legitimate city’.