What are exceptions in female ownership in property in EWS/LIG Scheme?

Adult female membership is required in property structure. In case of absence of an adult female member in a household, the property can be registered in the name of a male member only.

What is definition of household/beneficiary family for EWS/LIG and MIG?

For EWS/LIG - Husband, Wife and unmarried children constitute household/Beneficiary Family For MIG - Husband, wife and unmarried children An adult earning member (irrespective of its marital status be considered as separate household)

What is documentation requirement?

Following documents need to be submitted to the branch officer as per IIHFL Credit Policy. The list of documents is mentioned below: Aadhaar of all household members Notarized Affidavit cum Undertaking is mandatory

How will the subsidy amount be adjusted i.e whether loan amount would be reduced or tenure?

Subsidy amount shall not be adjusted against tenure. The impact of subsidy would be adjusted against principal only, further impacting EMI amount.

Is there any capping on property value or area for EWS/LIG and MIG?

EWS/LIG - No, there is no capping on minimum/maximum property value or area as per the scheme guidelines issued by the Ministry of Housing and Urban Poverty Alleviation

Applicant’s wife already owns a pucca house before marriage and now applicant wants to buy one new property on her wife’s name; can he qualify for a CLSS scheme?

No, household cannot take the benefit under CLSS as spouse in beneficiary family/household already owns one property.

A household owner owns a plot, however, does not have a house. Is he eligible for a subsidy?

Scheme mentions that “The beneficiary family should not own a pucca house either in his/her name or in the name of any member of his/her family in any part of India to be eligible to receive central assistance under the mission Therefore, beneficiary family already owning shop, commercial establishment, plot, factory but not owning a pucca house clears the eligibility parameter of 1st house ownership.

What are the income norms for various categories?

The income norms for various Household categories are defined as under: Annual Household Income of EWS/LIG should be less than Rs. 6 Lakhs

How will I receive the interest subsidy benefit under Pradhan Mantri Awas Yojana?

Post disbursement of the loan amount, IIFL HFL may claim the Credit Linked subsidy for eligible borrowers from National Housing Bank(CNA). .On receipt of Subsidy amount from CNA, the Principal Outstanding in Home Loan Account of the Beneficiary is Reduced to the tune of Subsidy amount. Accordingly, EMI of the Beneficiary is reduced

How a Customer can get maximum Subsidy benefit?

A Customer is eligible for maximum subsidy if the disbursed amount is equal to or more than Rs. 6 lakhs and the loan tenure is of minimum 20 years. In case the Loan disbursement or tenure is Below 6 lakhs the subsidy would be reduced proportionately. Kindly refer to the subsidy calculator.

Whether repairing work to the existing house is covered for benefit under the Scheme?

Repairing work in the existing house may be undertaken in houses which are kutcha, semi pucca and require extensive renovation to make it into a pucca house. However, this is applicable only in case houses area is below 60 sqmtrs.

If applicant’s household already own one plot or kuccha house, can he apply for a subsidy?

As the household does not own a Pucca house, he can apply for subsidy under the scheme subject to additional qualifiers such as annual household income, property in urban/adjacent area etc.

Home > Pradhan Mantri Awas Yojana CLSS > Overview

Note* : This scheme has been discontinued from 1st of April, 2022.

The Pradhan Mantri Awas Yojana (PMAY) was launched by the honourable Prime Minister of India with the mission to fuel the concept of ‘Housing for All’ by 2022. The PMAY has two components, i.e. PMAY(U) for the urban poor and PMAY-G for the rural poor.

The Pradhan Mantri Awas Yojana (Urban) or PMAY (U) was introduced on 25th June 2015. This is a flagship mission of the government of India implemented by the Ministry of Housing and Urban Affairs (MoHUA). While the scheme was discontinued from April 1^st 2022, IIFL Home Finance Ltd. was always at the forefront of facilitation the Credit Linked Subsidy Scheme (CLSS) to the eligible beneficiaries of Economically Weaker Section / Lower Income Group (EWS/LIG) for purchase, construction or enhancement of house. IIFL Home Loan aligns with the Government's vision of ‘Housing For All’ by facilitating financial inclusion for the undeserved communities through its extensive product portfolio. Designed to support the informal income segments, the company provides Home Loans and Secured Business Loans (Loan Against Property) to the first-time homeowners and small business owners, respectively.

Credit Linked Subsidy (PMAY-CLSS) to 55,700+ beneficiaries

1,300+ Subsidy (CLSS) facilitated

151,300+ First time home buyers

54,000+ Loans to informal segment

97,700+ Loans given to women owners / co-owners

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Pradhan Mantri Awas Yojana FAQs

What is Pradhan Mantri Awas Yojana (Urban)? What are PMAY(U) objectives and scope?

Pradhan Mantri Awas Yojana (Urban) or PMAY(U) was launched on 25th June 2015 with an objective to ensure housing for all in urban areas and ensure pucca houses to all eligible beneficiaries by 2022. The PMAY(U) comprises four components to include more number of people considering their income, finance and availability of land.:

“In-situ” Slum Redevelopment (ISSR)
Credit Linked Subsidy Scheme (CLSS)
Affordable Housing in Partnership (AHP)
Beneficiary-led individual house construction/enhancements (BLC)

What is Credit Linked Subsidy Scheme for EWS/LIG

The Credit Linked Subsidy Scheme offers an interest subsidy of up to Rs.2.67 lakh per house to the beneficiaries belonging to the Economically Weaker Section (EWS) and Low Income Group (LIG). As part of the scheme, beneficiaries availing housing loans for construction/purchase/enhancement of house from housing finance companies, banks or other institutions are eligible to get an interest subsidy at the rate of 6.5% for a tenure of 20* years or during the tenure of loan, whichever is lower.

What are the Eligibility Criteria under CLSS?

Below are the eligibility terms for CLSS beneficiaries:

The annual household income of the beneficiary family shall not be more than Rs.3 lakhs and Rs.6 lakhs under EWS/LIG categories, respectively.
The beneficiary family should not own a pucca house in his/her or in the name of any member of his/her family in any part of India.
Female ownership/co-ownership in the house is a must.
The beneficiary family should not have availed of assistance under any housing scheme from the Government of India or any benefit under any scheme in PMAY.
The house is to be purchased/constructed in a statutory town as notified by the Ministry of Housing & Urban Affairs.

What is the process of crediting the interest subsidy?

Below is the process of crediting the interest subsidy:

Step 1: The subsidy is released by the Central Nodal Agency (CNA) based on the disbursement made by Primary Lending Institution (PLI) to the borrower
Step 2: The subsidy is then credited by CNA to the IIFL Home Loans bank account
Step 3: IIFL Home Loans credits the subsidy to the borrower’s home loan account upfront by deducting it from the principal loan amount. The borrower pays the EMI on the remainder of the principal loan amount.

What happens when the subsidy has already been disbursed, but due to certain reasons, the construction of the house is stalled?

For instances where the construction of the house is stalled or not completed within a period of 36 months from the date of the first disbursement, the PLI recovers the subsidy from the beneficiary, and it is refunded to the Central Nodal Agency.