Parameter

Details

Eligibility criteria

• Resident Indian Citizen and non –resident Indians (NRIs) Persons of Indian Origin (PIOs) and Overseas Citizenship of India (OCI) are to be treated as NRI) belonging to Economically Weaker Section (EWS household income less than 3.00 lakh per annum) or Low Income Group (LIG – household income more than 3.00 lakh and upto 6.00 lakh) and residing in any of the 4041 statutory towns (as per 2011 census) Period of residency to be decided by concerned state.
• The property should be in the name of female head of the family or in the joint name of male head of the family and his wife. Only in cases, when there is no adult female member in the family, the house can be in the name of male member of the family. This condition will not be applicable in such case where loan is extended for construction/extension of house.
• Age of applicant/s should be in the bracket of 21-70 years.
• The property proposed to be acquired/constructed should be in Statutory Towns as per census 2011
• The applicant or his/her/family members should not own any pucca house/dwelling unit in any part of the country.
• The applicant or his /her/family members should not be a beneficiary or any other components of Pradhan Mantri Awas Yojna.

Note :

• The household comprises Husband, wife, and unmarried children (son/daughter).
• In case of a married couple, either of the spouses or both together in joint ownership will be eligible for a single house subject to income eligibility of the household under the scheme.

Purpose

Loan can be extended for following purposes :

• Purchase of new/old Residential Unit
• Construction of a Residential Unit
• Purchase of land and construction of a Residential Unit thereon
• Extension of existing Residential Unit. i.e. addition of rooms, kitchen toilet etc.

Area of construction

• Maximum size (Carpet Area) of the Residential Unit is restricted to 30Sq. meters for EWS and 60Sq. meters for LIG.
• However, the beneficiary, at his/her discretion, can build a house of larger area but interest subvention would be limited to first Rs.6.00 lakh only.

  Note :

  • In case of extension of house, maximum carpet, area of unit should not exceed the above mentioned size i.e. 30 square meters for EWS & 60 square meters for LIG.

Quantum of finance

• Maximum – Rs.30.00 lakh subject to repayment capacity of the applicant/s
• Maximum – Rs.6.00 lakh where self declaration applicant is considered as Income Proof.

Note:

• As per CLSS for EWS/LIG, interest subsidy @6.5% will be provided for loan amount uptoRs.6.00 lakh only. Loan amount exceeding Rs.6.00 lakh, if any will be at normal interest.

Repayment

• Repayment to be made as per EMI method only, other methods like Step Up, FLIP, Bullet, and Balloon will not be applicable.
• EMIs to be fixed on net loan amount, i.e. loan sanctioned less upfront interest subsidy.
• Servicing of interest during moratorium period is mandatory.

Processing Charges

• No processing charges to be recovered from the borrower for loan amount up to Rs.6.00 lac.
• All other charges like CERSAI registration fee, Insurance Premium, Advocate &Valuer fees etc. will be borne by the applicant.

Interest Subsidy

• GOI will provide 6.5% interest subsidy to eligible home loan borrower for 20 years or loan tenure whichever is earlier. The NPV of subsidy amount calculated @9.00 %discount will be provided upfront after disbursement of loan. The subsidy will be claimed from NHB (CNA) on periodic basis and will be credited to respective accounts centrally.

Other Terms & conditions

• All other terms and condition as per Union Home Scheme.
• In case of NPA, subsidy amount disbursed will be returned to the Govt.