Financial issues obstruct the dreams of many of owning a home. The Indian government has introduced the Credit Linked Subsidy Scheme under the Pradhan Mantri Awas Yojana (PMAY) that promises homes to all by 2022.
CLSS can only be availed as home loans to people who do not already own a ‘pucca’ house and should not have availed benefit from any other government housing scheme.



The income criteria and carpet area are mentioned below:
  1. Economically weaker sections (EWS): Income should be less than Rs. 3 lakh annually. The given carpet area is up to 30 square meters. The EWS gets a 6.5% interest subsidy on a sanction of Rs. 6 lakh which is to be repaid in 20 years.
  2. Low-income group (LIG): Income should be less than Rs. 6 lakh annually. The given carpet area is up to 60 square meters.
  3. Middle-income group I (MIG I): The household income should be between Rs. 6 Lakh to Rs. 12 Lakh. The given carpet area is 160 square meters. The MIG I get a 4% interest subsidy on a sanction of Rs. 9 lakh which is to be repaid in 20 years.
  4. Middle-income group II (MIG II): The household income should lie between Rs. 12 Lakh to Rs. 18 Lakh. The given carpet area is 200 square meters. The MIG I get a 3% interest subsidy on a sanction of Rs. 12 lakh which is to be repaid in 20 years.
Under the scheme, there is no upper cap for the loan amount and the interest is charged at non-subsidized rates on the loan amounts exceeding the mentioned subsidy limits. These are the major benefits of PMAY (pradhan mantri awas yojana) in India.