Pradhan Mantri Awas Yojana-Urban (PMAY-U)

Pradhan Mantri Awas Yojana-Urban is a mission of the government of India launched on 25th June 2015 by the Ministry of Housing and Urban Affairs (MoHUA). The main aim of this yojana is to construct pucca houses for all eligible urban peoples among EWS/LIG and MIG and slum dwellers by the year 2022. Central Nodal Agencies (CNAs), State level Nodal Agencies (SLNAs), Primary Lending Institutions (PLIs), and Implementing Agencies (IAs)/Urban Local Bodies (ULBs) are the main stakeholders who play an essential role in the success and implementation of PMAY-U.
This mission covers the entire urban areas consisting of notified planning areas, special area development authorities, Statutory towns, development authorities, industrial development authorities, or any such authority under state legislation that is entrusted with urban planning and regulations. 
It provides ownership of houses in joint name or female member that promotes women’s empowerment. Differently abled persons, SCs, minorities, STs, OBCs, senior citizens, transgender, single women, and other vulnerable and weaker section can avail this yojana. This yojana adopts a cafeteria approach that suits the needs of individuals on the basis of their geographical conditions, economic conditions, topography, infrastructure and availability of land, etc. 

Objectives of Pradhan Mantri Awas Yojana-Urban (PMAY-U):

• Promotion of “Affordable housing” for weaker sections through credit-linked subsidy.
• Building and/or improving houses run by legates.
• Affordable housing combined with government and private financing.
• Rehabilitation of existing slum dwellers with the participation of the private sector using land as a resource.
• All houses under PMAY-U will have basic facilities like water supply, kitchen, toilet, and electricity supply. 

Components of Pradhan Mantri Awas Yojana-Urban (PMAY-U):

1. In-situ Slum Redevelopment (ISSR) 

Under this component of ISSR, the central assistance of ₹1 lakhs per house is permissible for all houses built for eligible slum dwellers. Under the guidelines, after the redevelopment process, State/UT government will de-notify the slums. Cities/States will provide additional FAR/FSI or TDR to make projects financially stable. Slums who owned private land will get additional FAR/FSI or TDR by State/Cities as per its policy. In such cases no central assistance is permissible.

2. Credit-linked subsidy scheme(CLSS) 

Beneficiaries of Middle-Income Group(MIG) -I, Middle-income group (MIG)-II, and Economically weaker section (EWS) /Low-income group (LIG) seeking housing loans from housing Finance, banks, and other such institutions for new construction, acquiring or enhancement of houses are eligible for an interest subsidy of 3%, 4% and 6.5% on loan amount up to ₹12 lakhs, ₹9 lakhs and ₹6 lakhs respectively. The ministry has designated the Nations housing bank(NHB), State bank of India (SBI), and Housing and urban development Corporation (HUDCO) as Central nodal agencies(CNAs) to channel this subsidy to the beneficiaries. For only the MIG category the scheme was been extended up to 31st March 2021.

3. Affordable housing in partnership (AHP):

The government of India will provide ₹1.5 lakhs per EWS house under AHP. An affordable housing project can include a mix of houses of different categories but they should be eligible for central assistance if only at least 35% of the houses project belongs to the EWS category. The UTs/states will decide the sale price of EWS houses with an objective to make them accessible and affordable to the beneficiaries. Cities and state also extend other concessions such as land at affordable, their state share, stamp duty exemption, etc. 

4. Beneficiary-led Individual house construction/enhancement (BLC-N/BLC-E):

Under (BLC-N/BLC-E) the government of India will provide central assistance of up to ₹1.5lakh per EWS only to eligible families for individual house enhancement/construction. State/UTs will release central aid to the bank account of the beneficiary through Direct Benefit Transfer (DBT). First urban local bodies will validate the information and then the beneficiary has to submit the building plan so that ownership of land, economic status, and eligibility can be verified.

Components of Pradhan Mantri Awas Yojana-Urban

Features of Pradhan Mantri Awas Yojana-Urban (PMAY-U):

1. Under this scheme, all houses will have all basic facilities such as kitchens, toilets, electricity, and water supply.
2. It promotes women’s empowerment as they provide ownership in the name of a female member of the family.
3. Preference is given to SCs, STs, OBCs, senior citizens, differently-abled persons, single women, transgender, minority, and other vulnerable and weaker sections of society.
4. Under this scheme, the allocation preference of the ground floor is given to senior citizens and differently-abled persons.
5. The Indian government will provide a 6.5% interest subsidy on housing loans and the loan repayment period can be extended to 15 years.
6. Houses built under this scheme will be carried out through new technologies and with eco-friendly compliance.

Features of Pradhan Mantri Awas Yojana-Urban

Beneficiaries of Pradhan Mantri Awas Yojana-Urban (PMAY-U):

People belonging to economically weaker sections, middle-income groups, and low-income group families of society can take benefit from this scheme. To avail of the benefits of the PMAY-U scheme, one should not own a pucca house either in his own name or in the name of any member of your family in any part of India to get Central Mission Assistance.

Unique Initiatives under Pradhan Mantri Awas Yojana-Urban (PMAY-U):

• The Indian government launched Khushiyon Ka Aashiyana-Short Film Competition 2021 and Awaas Par Samvaad, a series of 75 seminars and workshops to fulfill the Prime Minister’s vision of “Housing for All”.
• ‘Awaas Par Samvaad’ aims to raise awareness and encourage discussion, reflection, and dissemination of ‘Housing for All’ among a diverse range of stakeholders from various fields of study and practice, such as planning, engineering, finance, urban community development, and so on.

The Latest Development of Pradhan Mantri Awas Yojana-Urban (PMAY-U):

1. Affordable rental apartment complexes: The authorities proceeded with the proposal to build affordable rental housing for the urban poor. The ultimate goal is to provide the poor with decent housing and housing close to their workplace. 
   ARHC is a sub-program of PMAY-U and will raise funds till the last date of the PMAY-U mission i.e. March 2022.
2. Stress fund: The government has set up a distress fund of Rs 25,000 crore to help thousands of stranded housing units complete their completion.
3. The PMAY app for beneficiaries: In February 2019, a new app was launched on Playstore for PMAY beneficiaries. The app, which is available on the Playstore, allows recipients to capture and upload high-definition photos and videos of the completed houses along with their families. These images would then be reviewed at the state and central levels. Selected beneficiaries from states and Union Territories will be felicitated and invited as special guests at the PMAY (U) Anniversary Celebration.
4. Exclusive real estate portal: On January 14, 2020, the Secretary of the Ministry of Housing and Urban Affairs, Durga Shanker Mishra, launched an e-commerce portal for the real estate sector-HousingForAll.com. The goal of the portal is to make available affordable projects that have received approval. The ministry hopes that this move will generate positive sentiment in the real estate industry and contribute to the growth of the economy.
5. Priority for victims of natural disasters: Wherever possible, the program also helps provide homes to victims of natural disasters.

Achievements of the Pradhan Mantri Awas Yojana-Urban (PMAY-U):

• 122.69 Lakh house sanctioned
• 61.15 Lakhs houses completed
• Rs. 120130 cr. central assistance released
• 101.94 Lakhs houses grounded
• Rs. 2.04 Lakh Cr. central assistance committed
• Rs. 8.31 Lakh Cr. total investment

Related Frequently Asked Questions and Answers:

1Q. What are the objectives of Pradhan Mantri Awas Yojana-Urban (PMAY-U)?

Ans. Objectives of PMAY-U:

• Through credit-linked subsidy, promotion of “Affordable housing” for weaker sections.
• Building and/or improving houses run by legates.
• Affordable housing combined with government and private financing.
• Rehabilitation of existing slum dwellers with the participation of the private sector using land as a resource.
• All houses under PMAY-U will have basic facilities like water supply, kitchen, toilet, and electricity supply. 

Q2. Who are eligible for the Pradhan Mantri Awas Yojana-Urban (PMAY-U)?

Ans. People belonging to economically weaker sections, middle-income groups, and low-income group families of society can take benefit from this scheme PMAY-U. To avail of the benefits of the PMAY-U scheme, one should not own a pucca house either in his own name or in the name of any member of your family in any part of India to get Central Mission Assistance.

Q3. What is the Credit-linked subsidy scheme(CLSS) under the Pradhan Mantri Awas Yojana-Urban (PMAY-U)?

Ans. Credit-linked subsidy scheme(CLSS)

Beneficiaries of Middle-Income Group(MIG) -I, Middle-income group (MIG)-II, and Economically weaker section (EWS) /Low-income group (LIG) seeking housing loans from housing Finance, banks, and other such institutions for new construction, acquiring or enhancement of houses are eligible for an interest subsidy of 3%, 4% and 6.5% on loan amount up to ₹12 lakhs, ₹9 lakhs and ₹6 lakhs respectively. The ministry has designated the Nations housing bank(NHB), State bank of India (SBI), and Housing and urban development Corporation (HUDCO) as Central nodal agencies(CNAs) to channel this subsidy to the beneficiaries. For only the MIG category the scheme was been extended up to 31st March 2021.

Q4. What initiatives are taken by the government for the Pradhan Mantri Awas Yojana-Urban (PMAY-U)?

Ans. Unique Initiatives under PMAY-U:

• The Indian government launched Khushiyon Ka Aashiyana-Short Film Competition 2021 and Awaas Par Samvaad, a series of 75 seminars and workshops to fulfill the Prime Minister’s vision of “Housing for All”.
• ‘Awaas Par Samvaad’ aims to raise awareness and encourage discussion, reflection, and dissemination of ‘Housing for All’ among a diverse range of stakeholders from various fields of study and practice, such as engineering, urban community development, planning, finance, and so on.

Q5. What is the Affordable Housing in Partnership (AHP) under the Pradhan Mantri Awas Yojana-Urban (PMAY-U)?

Ans. Affordable housing in partnership (AHP):

The government of India will provide ₹1.5 lakhs per EWS house under AHP. An affordable housing project can include a mix of houses of different categories but they should be eligible for central assistance if only at least 35% of the houses project belongs to the EWS category. The UTs/states will decide the sale price of EWS houses with an objective to make them accessible and affordable to the beneficiaries. Cities and state also extend other concessions such as land at affordable, their state share, stamp duty exemption, etc.