To fulfill the promise of providing housing for all by 2022, the government has taken a necessary step. The government has decided to provide 3 percent subsidy on home loans to the people who live in rural areas and do not come under PM Awas Yojana. This subsidy will be granted for the loans up to Rs 2 lakh. The decision was taken at a meeting at Cabinet on Tuesday.
EMI will be Low
After Cabinet Meeting, Rural Development Narender Singh said that the government is determined to keep to the house all by 2022 and not only EMI will be low due to low-interest rates of loans but also will inspire people to buy or construct a housing. Additionally, it will also increase employment in the rural housing sector.
PM Also Made Announcement
The Cabinet confirmed today that it was announced by the Prime Minister on the eve of the New Year. The interest subsidy will be given to all those homes, which do not come under PMAY-G. The government is targeting to construct around 44 lakh home under it. Under the scheme, loans will also be given to certain raw homes as well as new home building.
NHB Will Implement
National Housing Bank will implement this scheme, the government will release a lump sum as a subsidy to the bank. This subsidy will be issued by NHB to the banks and NBFCs.
News Source: http://www.business-standard.com/article/government-press-release/cabinet-approves-a-new-scheme-for-promotion-of-rural-housing-in-117012400514_1.html