PMAY Subsidy Calculator 2024 (Updated) – Check Eligibility

The Interest Subsidy Scheme (ISS) is part of the Pradhan Mantri Awas Yojana – Urban 2.0 (PMAY-U 2.0). It helps eligible families get home loans at a lower interest rate. This makes it easier for you to afford a home by reducing the cost of your loan.

Here are the key points to know when using our PMAY Subsidy Calculator for the ISS:

Who Can Use the PMAY Subsidy Calculator?

Income Groups:

• EWS (Economically Weaker Section) – Annual income up to ₹3 lakh
• LIG (Lower Income Group) – Annual income up to ₹6 lakh
• MIG (Middle Income Group) – Annual income up to ₹9 lakh

• Loan Amount: You can get a subsidy for loans up to ₹25 lakh.
• Property Value: The property value must be ₹35 lakh or less.
• Size of the House: The house can be up to 120 square meters in size.

How to Calculate the Subsidy Using the PMAY Subsidy Calculator

• How much: You get a subsidy of 4% per year on the first ₹8 lakh of your loan.
• For how long: The subsidy is given for a maximum of 12 years.

Subsidy Limits and the Role of NPV in PMAY

• The Cap: The government sets a limit on the total subsidy you can receive. This limit is based on the “Net Present Value” (NPV).
• What is NPV? NPV is a way to calculate the current value of future money, considering that money today is worth more than money in the future.
• How it’s calculated: The government uses a special rate (8.5%) to calculate the NPV of your total subsidy over the loan period.

How the PMAY Subsidy Calculator Works Step by Step

1. Calculate Yearly Subsidy: Find out how much subsidy you get each year (4% of ₹8 lakh).
2. Calculate Total Value: Calculate the total value of these yearly subsidies over the entire loan period.
3. Apply the Limit: If the total value exceeds the NPV limit (₹1.80 lakh), your subsidy will be adjusted accordingly.

PMAY Subsidy Calculation Example

Imagine you have a ₹10 lakh loan.

• Yearly Subsidy: 4% of ₹8 lakh = ₹32,000 per year.
• Total Value: You’d need to calculate the total value of getting ₹32,000 every year for the entire loan period (let’s say 20 years).

Important Points About the PMAY Subsidy Calculator

• Calculating the exact subsidy can be complex.
• You can get help from a financial advisor.
• The subsidy is usually added directly to your loan account.
• The rules for this scheme can change, so always check the latest information on the official PMAY-U 2.0 website.

Why Use the PMAY Subsidy Calculator?

Use our Subsidy Calculator to quickly check if you qualify for the subsidy and see how much financial help you can get. It’s a simple tool that helps you make the most of the PMAY-U 2.0 scheme.

Official Source:

• Official PMAY 2.0 Urban Guidlines.
• Home Loan Calculator with part-payment facility