PMAY-Urban categories
| Category | Annual income | Subsidy % | Eligible loan (max) | Tenor | Max NPV subsidy |
|---|---|---|---|---|---|
| EWS | ≤ ₹3 lakh | 6.5% | ₹6 lakh | 20 years | ~₹2.67 lakh |
| LIG | ₹3 – 6 lakh | 6.5% | ₹6 lakh | 20 years | ~₹2.67 lakh |
| MIG-1 * | ₹6 – 12 lakh | 4.0% | ₹9 lakh | 20 years | ~₹2.35 lakh |
| MIG-2 * | ₹12 – 18 lakh | 3.0% | ₹12 lakh | 20 years | ~₹2.30 lakh |
* MIG-1 / MIG-2 was discontinued on 31 March 2022 and is shown here for reference only. EWS / LIG benefits continue under PMAY-Urban 2.0.
How the NPV subsidy is computed
The bank computes the present value of monthly interest savings over a 20-year notional tenor, discounted at 9%, on the eligible portion of the loan. This lump-sum is credited up-front to your loan account, reducing the principal you owe. EMI is then re-calculated on the reduced balance over the actual tenor.
Eligibility criteria (PMAY-U 2.0)
- The applicant or any family member should not own a pucca house anywhere in India
- The home being purchased / constructed must be the family's first pucca home
- For EWS / LIG: max carpet area 60 sqm (~645 sqft) for EWS, 60 sqm for LIG
- Female ownership / co-ownership preferred (in some states, mandatory)
- Aadhaar of all family members required
FAQ
Can I apply if my loan is already disbursed?
Yes — CLSS can be applied retroactively if the loan and the property meet eligibility criteria. The bank will process the subsidy claim with NHB / HUDCO; once approved, the lump-sum is credited to your loan account.
What if my loan is bigger than the eligible portion?
The subsidy is calculated only on the eligible portion (e.g., first ₹6 lakh for LIG). The balance loan above this carries the regular rate and is not subsidised.
Is PMAY available for plot + construction loans?
Yes — both purchase and construction (or extension) of a pucca house qualify, subject to area and beneficiary criteria.