The government has increased the carpet area of houses eligible for interest subsidy under the Credit Linked Subsidy Scheme for the middle-income group under Pradhan Mantri Awas Yojana (Urban).
According to revised norms, the ministry of housing & urban affairs has enhanced the carpet area of houses eligible for subsidy under CLSS for MIG to 160 sq meter or 1,722 sq ft for MIG -I and 200 sq meter or 2,153 sq ft for category MIG-II.
Earlier, the carpet area for these houses under MIG I and MIG II categories was fixed at 120 sq meter or 1,291 sq ft and 150 sq meter or 1,614 sq ft.
Under the revised norms, individuals with annual household Income from ₹6 lakh to ₹12 lakh would qualify for MIG I category, while MIG II for income above ₹12 lakh up to ₹18 lakh. Interest Subsidy for MIG I and II will be 4% and 3%, respectively for maximum loan tenure of 20 years.
The eligible housing loan amount for interest for subsidy would be ₹9 lakh and ₹12 lakh for MIG I and MIG II category, respectively. Loan quantum beyond this limit will be at non-subsidised rates.
The scope of the CLSS was expanded to MIG category with the approval of the cabinet In February 2017. This scheme initially approved for implementation for the year 2017 has been extended up to March 2019.