Puravankara’s MRIP Offer

A very interesting concept –  You get assured rent for fixed years once you invest in such property. Let’s dive in to the topic.

Puravankara’s Provident Housing came up with an innovative method to grow their business and give value to our investment.

Managed Residences Investment Plan (MRIP)

 Puravankara, one of the top most real estate developers in India, believes in “We cannot really depend on our job alone if we want to achieve financial freedom. Creating and having multiple source of income is one of the best ways to step up the ladder and achieve our financial goals”.

Hence, came up with the solution, buy the ready-to-move in apartment with assured rent for seven years along with appreciation in rent.


Here are some quick points for more information.

  • An innovative, low risk real estate investment to help you build a long term rental income.
  • Investment structure – Buy & Sale back with a contracted lease term of 7 years.
  • Puravankara’s MRIP offer provides long term lease management services from JLL, the leading international property consultant.
  • Multi-city residential assets across Chennai, Bangalore, Coimbatore & Kochi.
  • Investments across 3 Price buckets –   approx. 35 to 55 lakhs ;  75 to 125 lakhs &  2.5 to  4 cr.
  • Benefit from committed monthly rentals with annual rent escalations, long term capital appreciation, zero maintenance & hassle free process.
  • All apartments offered under Puravankara’s MRIP offer are ready to move in apartments and are completed apartments/ completed projects.
Pros and Cons of Puravankara’s MRIP Offer :
  • As the company believes, it is always better to have multiple investments and multiple sources of income. And hence, this is a best source of second income.
  • Buying a home for rental purpose is a very common practice in India. Finding a tenant and getting assured income is most challenging. This offer encourages a hassle-free maintenance process for seven years by not only paying the rent but also  maintenance charges.
  • You just have to pay the property tax every year.
  • Be careful while buying as the price under Puravankara’s MRIP offer is slightly higher than the price for the units with no offer.
  • But if you are an NRI or retired employee or low risk taker, it is always best to invest.
  • Go for Purvankara’s MRIP Offer, only if you can self-invest. Since, under this offer, the pricing of the unit is relatively higher, it doesn’t make the best option if you have to pay more interest to banks under home loan.

How Loanyantra Works :

Investing in a property is no small issue. And we understand it. So your search for home ends here. Think home loan and think loanyantra.

As we discussed above about managing homes, we, in loanyantra, manage your home loan. Call us for further queries about free services on home loan management.

Personal loan for Infosys Employees

Personal loans for Infosys employees come with personalised features and discounted interest rate. With extended offers of personal loan Infosys employees can enjoy special features like quick and simple personal loan process, fixed rate of interest where interest is charged in monthly reducing basis on personal loans. No security or collateral required for Infosys employees. Attractive personal loan interest rate for Infosys employees.

Infosys employees Personal Loan Documents Required for instant approval from ICICI bank is

  • Personal Loan Application form.
  • Photograph
  • Age proof
  • ID proof
  • Income proof
  • Bank statement
  • Residence proof
  • Signature verification proof.

Many other banks offer competitive interest rates but with do some eligibility check for example, Axis bank personal loan for Infosys or some selected MNCs features some eligibility criteria like

  • Minimum age of applicant: 21 years
  • Maximum age of applicant at loan maturity: 60 years
  • Minimum Net Monthly Income: Rs 15,000
  • Maximum loan available: Rs 15 lacs.

Infosys personal loan is specially designed for the Infosys employees and Infosys bpo employees in ICICI bank. Zero Balance salary account can be maintained by Infosys employees with ICICI bank.

If you are an Infosys employee, get different deals on different loan products. ICICI personal loan offer for Infosys employee includes not only discounted interest rates but also rewards for paying loans through EMIs. Your minimum average salary per month should be minimum Rs. 15,000 in ICICI salary account for ICICI personal loan as an Infosys employee.

Before 2013, Infosys had special offers and schemes for its employees on different loans. Earlier it was tough to get loans from different lenders. Now Infosys had stopped schemes on loans for its employees. But personal loan and car loan schemes are still existing for Infosys employees.

Get the work done even smoother without even to wait as Loanyantra can assist you in every step by the loan experts. As an Infosys employee either in consultation or BPO, you can avail varied offers. So, get to know everything.



Home Loan Schemes and Home Loan Interest Rate for Women

Home Loan Interest Rate for Women are softened in India

A sharp rise has been noticed in the number of women property buyers in India of late. These days, women play a crucial role in taking a key decision like home buying. About 30% of the property buyers in urban India comprise of women buyers. Financial institutes and banks are often known to offer certain privileges to women home buyers when it comes to providing Home loans for women. That’s why it’s more important for the women borrowers to acquire more knowledge on home loans and the new housing market.

women buyers home loan interest rateand stamp duty prices discounted
Women Power – Dream Big and Invest in Real Estate
Here are some of the advantages female homebuyers have in India:
  • Women home buyers can avail home loans at cheaper rates from some of the leading Indian banks and financial organizations. Banks are keen to lend funds to women as they don’t miss out on the due dates and repay loans more punctually. However, the banks tend to run a check on the Adhaar Card, PAN Card, Driving License, and Voter ID prior to issuing home loans to women borrowers. Certain utility bills are also sought as residence proof e.g. telephone bills and electricity bills.
  • Housing-for-All Mission of the Indian Government has set the norm for women to be either sole owners or co-owners of new homes at cheaper rates. This is a direct effort of our central government towards empowering women belonging to underprivileged and low-income groups. It even has a direct impact on shaping the new housing market.
  • A lower stamp duty is accepted from women across a number of Indian states. The women borrowers are expected to pay 2% lesser on stamp duty in states like Haryana and Delhi. That’s one reason why some of the couples tend to get their properties registered jointly in the name of the female partner. A lower stamp duty is met even when the female partner receives the property in the form of a gift.
  • Women home buyers can even enjoy a tax deduction worth 2,00,000 INR on the amount of their home loan interest. While letting out your property, the rate of interest to be met by you and your husband are subject to tax deductions if you sign up as co-applicants to your home loans.
  • While letting out homes, women are even allowed to offset the net rental value by deducting the rate of interest to be met against their mortgage loans.

All key home buying tips for women suggest that the SBI is not just one bank that softened the rate of home loan interest for women.

‘Woman Power’ was another scheme launched  in 2015 by the HDFC bank for motivating the woman home buyers. This scheme enabled women buyers to achieve home loans with a lower interest rate 5 bps below the normal applicable home loan interest rate. The Mahila Awas Loan was yet another financial scheme that enabled women to achieve an amount of up to 12 Lakhs; this scheme was launched by the Aspire Home Finance, known as MALA (Mahila Awas Loan from Aspire) Scheme. The rate of interest for this loan is much higher and is directly proportional to the risk borne by the applicants as they often fail to produce proper identity proofs.

Women belonging to low-income groups are even endowed with other financial schemes like that of the MALA scheme. This scheme assists women belonging to the unorganized sector like those that are working as domestic help and daily-wage earners to be able to pull out of their financial crisis.

According to the Narendra Modi government’s Housing for All Mission, women should be either co-owners or sole owners of affordable houses. The government decided that this should be so to empower women from low-income households. In poverty alleviation schemes in Indian states like West Bengal, women’s names are included in the land titles of the plots that the government allocates to low-income households.

Women home buyers are also eligible for stamp duty concessions under certain state governments. The men in Delhi need to bear a stamp duty worth 5% of their property price while women have to bear only 3%.

In India, home ownership, which has been dominated by males for ages, is all set to undergo a radical change in favor of our women. Thanks to a large section of developers and financial institutions for all their efforts.

Author Bio:

Ron Johnson has worked as a financial strategist for a few eminent business houses based in India. Ron is still attached with many such organizations that boast a strong presence throughout the web. Currently, he’s involved in shaping the roadmap for a few resourceful global websites that expedite corporate financial solutions for fortune 500 clients.


RBI Hikes Repo Rate. Will EMIs also Increase?

First time in Modi’s regime, RBI had back-to-back increased the Repo rate by 25 basis points which is gone to 6.50 from 6.25. Since 2014, till the recent Budget 2018, RBI either reduced the repo rate or maintained status quo. Let us know more details from Loanyantra about how the Repo rate, home loan, personal loan interest rates are interlinked.

What is Repo Rate?

Repo rate is the rate at which the RBI lends money to the banks. As we pay interest to the bank s when we take loan, the same way the banks pay interest to the RBI when the banks take loan. So, that interest rate at which the banks pay to the RBI is called Repo rate.

Impact of Repo rate hike on banks and banks rates – Understanding through Loanyantra.com

So, the repo rate increase means, the banks need to pay more interest to the RBI. So, for the banks it is time to increase the revenue. The source of revenue to banks is Public. So, banks calculate their earnings, profits and then increase their source of income from lending (home loan, personal loan, etc) by increasing the lending rates.

Repo rate hike and the Banks Home loan, auto and other personal loan interest rate hike – 

The leading banks like State Bank of India (SBI), Punjab National Bank (PNB), HDFC and ICICI Bank increased their benchmark lending rates or MCLR by up to 10 basis points, making loans a little costlier for consumers in the last quarter one week before the RBI rate hike.

Every time there is a repo rate cut, SBI is the first bank to pass on the benefits to the customers by reducing the lending rates. Which is followed by other major banks like ICICI and HDFC.

That was the first time we have seen these major banks increasing the lending rates before the increase in the RBI repo rate. Hence, it is anticipated that within near period, there will not be any increase in the lending rates by the major banks like SBI, ICICI, HDFC, AXIS Bank. And truly there were no increase in the home loan interest rate.

RBI repo rate hike, loan interest rates and EMI hike
RBI Repo rate Vs Loan Interest Rates Vs EMI hike

While there is a back-to-back hike of repo rate by RBI for two times this year, 2018, it is natural for the borrowers to estimate a hike in the lending interest rates. However, the lending leaders are yet to react. This is the question of total system liquidity as RBI also hiked reverse repo rate to 25 basis points. If liquidity is tight, banks may react on the hike by increasing the lending interest rates. We may have to wait for the news from the banks before even we calculate our EMIs.

The home loan interest rates were never below 9% before 2014. In the near recent times, the home loan interest rates have reached to the maximum of 8.7%.

So, it is still advantageous, for all those who want to buy home, go for home loans and get the best one that suits you better via loanyantra.com. as, though the repo rate has increased, the lending rates remain the same, atleast for a while.

Hurry and fix your loan, home, auto or any other personal loan at the best interest rates ever. Do your research with Loanyantra.com., know the interest rate trends, and the market trend. Get the best fit loan from your favourite lender. All you need to do is just give a missed call to 040-71011991. Our relationship manager calls you and you can discuss in detail and get the best product with low interest rate.


SBI Home Loan Process – Step by Step

Searching for the best home loan is as important as searching for a dream home. You might find the best home loan lender, but the process involves many steps. You have to be patient and careful while dealing with the process. Though applying online has become very easy, reaching the disbursal stage is no cake-walk. If you had chosen a nationalized bank, you have to be even more careful in following each and every step.

Here is the step by step procedure for your SBI home loan disbursal.

  • Collecting the Property related Documents
  • Legal Opinion
  • Property Valuation
  • E-stamping
  • Submitting the Application
  • Documentation
  • Disbursement

1.Collecting the Property Related Documents:  Firstly, go to the builder and get all  the property related legal documents. Get the Legal opinion and Share of agreement and Sanctioned Site plan from the builder.

Collect : Booking Receipt along with the copy of the cheque.

2.Legal Opinion: Go to an Advocate who is in the SBI Panel with the documents in step 1 to get it verified. For the advocate to give the final legal opinion he needs to see the Sales Agreement & Construction Agreement and he needs a photostat copy of it.

Normally if its a builder share following documents need to be collected from the builder :

a. Encumbrance certificate till current date (from some 35 years advocate may ask)

b. Tax Paid receipt till date. Lawyer might ask you for multiple documents, so the maximum delay is expected at this step. Once this step is done, half part is done.

Collect : Legal opinion

3. Property Valuation: Once the Legal valuation is done, go to a property Valuator who is in the SBI Panel with the sales agreement. He valuates the property and gives a letter.

Collect : Valuator statement

4. E-stamping: SBI mandatess the Sales agreement and Construction agreement to be estamped/Franked.  Regarding whats the value to which e-stamp, do concern the branch staff. Normally for a ongoing construction flat, there are 2 Agreements a)sales Agreement and b) Construction Agreement. E-stamping and franking are actually the same, e-stamping is the new technology where as franking is the old one where we stamp it, Franking can be done only at register office where as e-stamping can be done at post offices, Syndicate banks, Selected registrar offices, etc.

Note: Make sure you, your wife and builder sign on the e-stamp which you purchase.

Collect : e-stamp and franking on the sales agreement

5. Submitting the Application: Once you get the valuator statement and Legal opinion, go to the SBI with the filled in application forms along with the required documents for loan application. Also attach the legal opinion and the Valuatorstatement.

Note: Its always good to go for a interiors loan (max up to 3 lakhs) along with the home loan, which might save you the hidden chargeswhen combined. For the interiors loan you need to get a quote from an interior designer and get it valuator sanctioned.

Collect : Application form Valuator Statement


6. Waiting period: Now its time for the waiting period. The waiting period may vary from person to person. Normally in the special home loan branch, it can be as fast as 3 days. Periodically call them to ensure that the process is going forward. Also make sure they inspect the property, because unless and until they inspect, you can’t reach the disbursal stage.

7. Documentation: Once the loan is sanctioned, you get a call from the bank for documentation. Carry all the original documents which you have submitted while applying for the loan.

Loan applicant along with guarantor needs to be present at the bank for the documentation. Builder is normally not required, if its a land lord share, then it is a must for him too to attend.

8. Disbursement: Once we get the Loan Sanction letter go to the builder and get the following documents 1. NOC from the builder stating he hasn’t mortgaged this property to any other bank 2. Tripartite agreement [This is required only if its a ongoing construction.3. Demand Note from the builder[how much money he needs for the particular construction stage]. Note: Please make sure whatever demand note they make is matching with the schedule of payment.

Collect : DD in favor of builders

9. If it is an under-construction property, for partial disbursements and for further payments you can just send a mail to the manager to please disburse the amount XXX and then ask the builder to send a boy to the SBI branch with the original demand note and they can collect the DD from the bank directly. You need not go to bank anymore.

10. Registration : Now its time for registration and the final payment to be made to the builder. You need a DD for Registartion Stamp duty in the name of Sub-registrar and a DD for Mortgage Stamp duty in the name of Sub-registrar

Conclusion. Send an SBI Postal mail form after registration saying you had submitted all the registered documents to SBI.

How Can Loanyantra Help You.

The above process needs a lot of care and patience. More than anything, it needs your valuable time, planning and energy. Once you register with loanyantra, you can relax and fulfill your loan disbursal process. Our relationship manager guides you in each and every step, also assisted home service for all your documents that need to be submitted in the bank. Also, loanyantra’s relationship manager is accessible to you to answer your questionnaire , anytime. All you need to do is just login, as it doesn’t cost you but it only helps you.

Frustrated with Your Home Loan Lender? Here is the Solution for Best Bank for Loan

Answer these questions and think of a solution for the best bank for your requirement.

How many of you are frustrated with your home loan lender? Either for a loan disbursal or for a balance transfer or the most important for the higher interest rate changes!!

new home laon, balance transfer, or any loan, get the best product via loanyantra
Frustrated with your lender? Your lender doesn’t reduce your loan interest rates? Chill out…Loanyantra is the solution.

How many times do you postpone going to a bank for a balance transfer and doesn’t go because you didn’t research which bank is giving lowest interest rate or which bank charges less on the balance transfer?

How many office hours do you spend to visit the bank on your home loan work?

How many of you didn’t research before taking a home loan and now taking the pain?

How many of you dream of closing the home loan fast but don’t know how and when?

Do you know, 50% of the people in India use banking portals. Out of which 40% use them for research. 18% of the time is spent on searching for the best banks while on internet.

The one-stop solution for all these is
Visit the website and fill the details. Get a solution to all these questions. Truly a reliable, economical, one-stop solution.

Ask yourself – 5 Questions about Home Loan Insurance.

Q1. What is home loan insurance? Is home loan insurance and house insurance same?

Home Loan insurance or insurance on home loan supports your family in any unforeseen event by paying the outstanding loan amount. Home loan insurance is an insurance term plan provided on your home loan amount for the same tenure like your home loan. Now in India, home loan insurance is made compulsory by all the lenders while opting for the home loan. Team Loanyantra can suggest you the loan products with low home loan interest rate as well as  home loan insurance low premium products.

Before that we should know that house insurance is totally different from home loan insurance. With regard to home loan insurance, you get the home loan insured whereas with house insurance, you get the structure of the house and the contents of the house insured.

Q2. How does Home loan insurance work? Will the home loan insurance cover reduces over the home loan tenure?

“A loan insurance plan covers the balance to be paid in case of the borrower’s death as per the loan schedule decided at the time of taking the policy,” says Rituraj Bhattacharya of Bajaj Allianz Life Insurance.

The home loan insurance offered by the loan cover will progressively come down as the home loan gets repaid. For instance, by the 10th year, if the loan cover would have been to be Rs 13.5 lakh. By the 14th year, it would have been reduced to about Rs 3.5 lakh.

Q3. How to pay the home loan insurance premium ?

To calculate the home loan insurance premium, primarily, the home loan interest rate is taken into account. A few companies or financial lenders also have a different rate for metropolitan and non-metro areas.

The other factors considered are, the age and medical record of the policy holder, the loan amount and the repayment period. The larger the loan amount or the repayment period, the higher the premium.

The home loan insurance premium payment can be paid at once or annually. You can either choose, 3,4,5,7 or 10 year, not exceeding 2/3rd of the loan term. For example, if you have to pay a premium of Rs.50,000 and choose to pay annually,  the bank includes that premium into your loan amount and calculates the EMI. So be wise and diversify your funds.

home loan insurance _loanyantra

Q4. What are the tax benefits while paying the home loan insurance premium ?

Only, if the premium is paid by you, and not by the lender, you are eligible for tax deduction under Section 80C and Section 10(10D).

If it has been paid by the lender and is part of the loan which you will repay through EMIs, it will not be possible to claim deduction.

Infact, the tax benefit is very negligible. The tax limit is Rs. 1,50,000. So, when you choose to pay annually, the premium is spread across your tenure which is added in your EMI. Understand that you don’t lose much.

Q5. What are the other options to insure your home loan? 

Usually home loan insurance is compared with insurance term plans. The main advantage with term plans is they cover other financial needs along with the home loan. However, whether you opt for a home loan insurance or choose any other term insurance plan, the premium is calculated accordingly, which can be higher for higher cover.

But now in India, it is mandatory to opt for the insurance for any loan you take. So, you can only opt whether you pay the premium directly or pay the premium through EMIs. 

NOTE :  Why should you opt for Home loan insurance?

The solution lies with you. But, the best advantage with home loan insurance is, incase of unexpected happening to the borrower, the insurers go to the bank directly to close the loan. The family need not go around the banks or insurance companies. So, for those whose family does not have much exposure about these financial matters, it is a good decision by the lenders to make it mandatory. So, plan smart and choose the best fit.

SBI Loan Against Property

SBI Loan Against Property 

A dream come true! An ALL PURPOSE LOAN for many thing that life throws up at you!! Do you need funds meeting expenditure on education, marriage, healthcare etc. A simple undertaking in the application itself and no documentary evidence for end use of the fund to be insisted upon. Employees, professionals and Self employed individuals who are IT assesses and NRIs who own residential property or commercial property in his/her own name or in the name of spouse/children/parent/sibling.

SBI Loan against property is a loan provided against mortgage of immovable property. The SBI’s loan against property offers loan against properties that can go from Rs. 25 lakhs to over Rs. 1 crore depending on the features and conditions of the bank. These loans can also be repaid over a comfortable period ranging from 5 years to 10 years.

Loan Against Property is a loan granted by the bank or any financial institute by taking any of the immovable properties into its custody. The more your property values, the more you get the loan amount sanctioned. 

SBI Loan Against Property Advantage
  • Complete transparency in operations
  • Personal loan to individual owners of residential home/flat and select commercial properties
  • Access this loan from wide network of branches all over India.
  • Interest rates are levied on a daily reducing balance method.
  • Lowest processing charges. Also, no processing fee period at times.
  • Rental income in select cases also considered for loan eligibility.
  • No prepayment penalties. You can repay and reduce the interest whenever you have surplus funds.
SBI Loan Against Property Scheme 

A personal purpose loan against mortgage of your residential and/or select commercial property.

SBI Loan Against Property Purpose

Any personal purpose other than speculative purpose.

Loan against property SBI
Loan against property SBI
SBI Loan Against Property Eligibility

You are eligible if you are:

A. An individual who is;

  • An Employee or
  • A Professional, self-employed or an income tax assesses or NRIs (Who has residential property or commercial properties in his own name or in the name of spouse / children/parent/sibling)

B. Minimum net monthly income of Rs. 25000/- (or Rs. 3 lacs per annum)

C. Loan under LAP should be liquidated before eldest borrower attain the age of 70 years.

SBI Loan Against Property Features

Loan Amount

Minimum Loan Amount : Rs.10 Lacs

Maximum Loan Amount : Rs.7.5 crores. subject to location of property

Processing Fees

1% of the loan amount plus service tax, maximum of Rs. 50,000/- plus Service Tax


i) Equitable mortgage of the property

ii) In cases where the commercial properties are rented out on lease, equitable mortgage on the property will be created and assignment of rental receivable will be obtained. In addition a Tripartite Agreement / Irrevocable power of attorney is also required.

LTV (Loan to Value) Ratio

Loan Amount LTV Ratio
Upto Rs. 1crs 65%
Rs. 1 cr & upto Rs. 7.5 crs. 60%

Loan Tenor

Minimum – 5 Years

Maximum – 15 Years

EMI / NMI Ratio-

Maximum permissible EMI/NMI will be as below:

Net Annual Income EMI/NMI ratio
> Rs. 3 lacs<= Rs.5 50%
> Rs. 5 lacs <= Rs.10 lacs 55%
> Rs.10 lacs 60%

SBI Loan Against Property Maximum Age

Loan under SBI Loan Against Property should be liquidated before eldest borrower attains the age of 70 years.

SBI Loan Against Property Documents required :
  • Completed loan application
  • 3 Passport size photographs
  • Proof of identify (photo copies of Voters ID card/ Passport/ Driving licence/ IT PAN card)
  • Proof of residence (photo copies of recent Telephone Bills/ Electricity Bill/
  • Property tax receipt/ Passport/ Voters ID card)
  • Proof of business address for non-salaried individuals
  • Statement of Bank Account/ Pass Book for last six months
  • Signature identification from present bankers
  • Personal Assets and Liabilities statement

For guarantor (wherever applicable):

  • Personal Assets and Liabilities Statement
  • 2 passport size photographs
  • Proof of identification as above
  • Proof of residence as above
  • Proof of business address as above
  • Signature identification from his/her present bankers

Additional documents required for salaried persons  – SBI Loan Against Property

  • Original Salary Certificate from employer
  • TDS certificate on Form 16 or copy of IT Returns for last two financial years, duly acknowledged by IT Department.

Additional documents required for Professionals/self- employed/ other IT assesses – SBI Loan against property

  • Acknowledged copies of three years I.T. returns/ Assessment Orders.
  • Photocopies of challans evidencing payment of Advance Income Tax.
How Loanyantra Works With SBI – SBI Loan Against Property

Loanyantra, India’s first online home loan management company, works with SBI to bring in a better customer relationship and a perfect interaction to get your work done on time. We are just a missed call away, find out all the details from us about your favourite bank by letting us know your requirement. We let you get the best service from SBI without you stepping out of your cozy home. Call know to get the royal service from SBI via Loanyantra.com 040-71011991.

Apart from SBI Loan Against Property, get to know about every bank and every lender in the market. Get the best deal and make the best use of the money. Loanyantra helps you to be aware of the best product that suits your requirement.


Pradhan Mantri Awas Yojana Credit Linked Subsidy Scheme

Pradhan Mantri Awas Yojana- Credit Linked Subsidy Scheme

Housing For all by 2022. Interest Rate Subsidy on Home Loans.

The year 2016 ended with the honorable Prime Minister Narendra Modi’s much awaited speech. The speech gave hopes to the poor, women and senior citizens. The housing policy schemes by the P.M., made easy for the poor to have a home of their own. The new policy of home loan interest rates subsidy to the needed, raised hopes in availing a home with the help of home loan. That too for comparatively lower interest rates.

So, here are more details about Pradhan Mantri Awas Yojana and Credit Linked Subsidy Scheme.

Pradhan Mantri Awas Yojana (PMAY)  – Features and Eligibility Criteria

  1. This scheme is valid in urban India (towns, cities, metros) for urban poor of income below 6,00,000/ year and age between 21 years to 58 years.
  2. Women play vital role in this scheme. A family comprising of husband, wife and unmarried children. Beneficiary should not own a pucca house either in their name or in the name of any member of their family in any part of India to receive central assistance under the Mission Meeting income criteria defined under the scheme
  3. Credit Linked Subsidy is available for housing loans availed for new construction and addition of rooms, kitchen, toilet etc., to existing dwelling as incremental housing.  The carpet area* of house should be constructed or enhanced under this scheme should be upto 30 sq.meters for EWS(Economically Weaker Section) category and upto 60 square meters for LIG(Lower Income Group) category.
  4. For identification as EWS/LIG beneficiary under the scheme, an individual loan applicant should submit self-attested certificate/affidavit as proof of income.


Credit Linked Subsidy Scheme(CLSS) – Features and Eligibility Criteria

Any citizen of India can enroll for CLSS under the following conditions. The beneficiary, at his/her discretion, can build a house of larger area but interest subvention would be limited to first Rs. 6 lakh only.

This new policy of Credit Linked Subsidy Scheme (CLSS) is applicable for the Lower Income Group (LIG) of household income less than Rs.3,00,000 and the Economically Weaker Section (EWS) of household income less than Rs.6,00,000, not only for limited square feet.

So, now let us go into details of how the CLSS scheme works.

Any eligible applicant who choose a carpet area within  60 sq.m(645 sqft) of a flat/house then the applicant gets an home loan interest rate upto INR 12,00,000/- availed from the bank.

And if any eligible applicant is applying for 2 bhk of 975 sqft super built up area which has 644 sq.ft of carpet area, then the flat might costaround Rs. 40,00,000. Now, the applicant can enjoy interest rate subsidy on housing loan for Rs. 12,00,000.

The possible ROI as per Honorable PM speech is 4% less than the current market rate for housing loans. The non subsidized interest rate follows the existing market interest rate, which is currently 8.5%.

Example for CLSS Indetail. 

If any qualified applicant having gross salary of Rs.50,000/- per month and age is 30 years, the person is eligible for 37.88 lakh for maximum tenure of 28 years tenure and 30 lakh for 15 years tenure(know more and calculate your eligibility  http://loanyantra.com/Home-Loan-Calculator.aspx ).

So, the applicant, out of Rs. 40,00,000 has to pay down payment of 20% of the market value, which is Rs. 8,00,000. For the rest of Rs. 32,00,000/-, the applicant can go for a home loan. Under Pradhan Mantri Awas Yojana (PMAY)  Credit Linked subsidy scheme(CLSS) Rs. 12,00,000 will be subsidy interest and other Rs. 20,00,000 (Rs. 32 lakhs – Rs. 12 lakhs ) go as a non subsidy which has existing market rate of interest.

Carpet Area*: Area enclosed within the walls, the actual area to lay the carpet. This area does not include the thickness of the inner walls.

NOTE : Under the Mission, beneficiaries can take advantage under one component only.

Housing and Urban Development Corporation(HUDCO)  and National Housing Bank(NHB) have been identified as Central Nodal Agencies (CNAs) to channelize this subsidy to the lending institutions and for monitoring the progress of this component. Ministry may notify other institutions as CNA in future.

How to Enroll and Apply for Credit Linked Subsidized Scheme (CLSS).

Banks have a separate application for this kind of loan. Follow the official link to  download the application. http://www.tn.gov.in/exwel/forms/app5.pdf

If an applicant can qualify under Pradhan Mantri Awas Yojana (PMAY) for Credit Linked subsidy scheme(CLSS), the applicant can apply through http://loanyantra.com partnered banks and get assured lower interest till you close the loan.




Affordable Housing Scheme

The central bank has increased the Affordable housing scheme, housing loan limits for priority sector loans to Rs 35 lakh from Rs 28 lakh in metropolitan centres, and to Rs 25 lakh from Rs 20 lakh in other centres.

Affordable housing loans will soon become cheaper with the Reserve Bank of India (RBI) extending the ambit of priority sector lending to loans of up to Rs 35 lakh.

The priority sector lending tag, will not only reduce equated monthly instalments on loans, but will also ensure easier access of bank credit for consumers, especially for the economically weaker sections and lower income groups.

However, the overall cost of the residential unit should not exceed Rs 45 lakh in metros and Rs 30 lakh in other centres, the Reserve Bank of India said during its monetary policy announcement on June, the 6th, 2018.
This will also align the scheme with the housing-for-all scheme of the centre.
A circular in this regard will be issued by the end of this month, said the Reserve Bank of India.

Loanyantra provides you the fastest disbursal from the major banks and financial lenders at the best interest rate and the lower interest rate. Under PMAY Scheme, the interest rate subsidy is provided to make the common man meet the sky rocketing home prices and own a home of his/her own.

To become eligible for the affordable housing scheme, and the interest rate subsidy scheme, you should know how the scheme works and where and how you can avail the scheme.

How Pradhan Mantri Awas Yojna(PMAY) will work:

PMAY Housing Scheme will work by providing central assistance to Urban Local Bodies (ULBs) as well as other employed agencies through States/UTs for

  • Building onsite Rehabilitation of the existing slum-inhabitants by commencing private participation for using poor land area as a resource.
  • By providing Credit Linked Subsidy
  • Initiating Affordable Housing in Partnership
  • Granting Subsidy to the beneficiary for individual house construction/enhancement.
  • Subsidy- 1 Lakh – 2.30 Lakh

The scheme will provide a credit linked subsidy of Rs 1.00 Lakh to 2.30 Lakh to the home buyers.

  • The subsidy will be generated by central government treasury.
  • Credit linked subsidy granted to LIG and EWS segments of urban population.
  • Credit linked subsidy interest rate is  4% below the market rate when compared with Current market rate of interest on housing loans and will last for a period of 15 years from the date.
  • Subsidiary is being implemented as a Central Sector Scheme whereas other components as Centrally Sponsored Scheme (CSS).

Technology Sub-Mission of Pradhan Mantri Awas Yojna(PMAY)

All the construction under Pradhan mantri Awas yojana (PMAY) will adopt latest technologies for building new units or apartments. Government will setup a technical cell from the Building Materials and Technology Promotion Council (BMTPC) under the Ministry to support this Technology Sub-mission.

  • Well researched layout designs and prepared building plans appropriate for various geo-climatic zones.
  • Taking up modern, innovative eco-friendly technologies.
  • Green buildings concepts using natural resources.
  • Earthquake and other disaster resistant technologies . Simple concept of designs should be adopted to ensure adequate sunlight and air ventilation.

Three Phases of Pradhan Mantri Awas Yojna(PMAY)

PMAY Phase 1: From April 2015 to March 2017, begin the development of total 100 cities that must be completed during this phase.

PMAY Phase 2: From April 2017 to March 2019, after Phase 1, the development of total number of 200 more cities will be covered.

PMAY Phase 3: From April 2019 to March 2022, All the remaining cities of India will complete its PMAY housing development process.

The Primary Features Of Pradhan Mantri Awas Yojana

  • Preference will be given to females applicants for house allotments.
  • Ground floor of the houses will give preference to physically differently abled or to senior citizens.
  • Construction developers should strictly follow eco-friendly development technologies.
  • Affordability – Grant subsidy range anywhere between INR 1 lakh and INR 2.30 lakh to LIG and EWS section of urban population.
  • 4% less rate of interest from the market value on loans.

How Loanyantra helps you in Getting the Correct Loan Product From the Right Bank –

Affordable Housing Scheme is implemented across many cities for the urban poor. Search for Affordable homes and apply for loan to get a better interest rate. All you need to do is just finish your research and finalise on property and we will take you along every step of loan process till you close the loan. Let us know your details of the project. We check your eligibility, your emi, and tenure. The banks come up with attractive interest rate. Choose a bank product after discussing with our experts. Get instant loan approval and enjoy the fastest disbursal ever. Get eligible for Credit Linked Subsidy Scheme and also extra discount form Loanyantra team. Reduce your EMI and your burden.

For more info on PMAY- CLSS with example, Please go through the below link

Interest Rate Subsidy on Housing Loans

All you need to do is just give a missed call to 040-71011991. And get a call back from the loanyantra team to proceed further with  a hassle-free approach.