Are you looking to buy your dream home in Delhi? Start smiling as the popular DDA Housing Scheme 2017, also known as DDA Aawasiya Yojana 2017, is on a roll now. As much as 12,000 flats are put on the sale at different locations of the national capital, such as Rohini, Dwarka, Jasola, Sarita Vihar, Paschim Vihar, Pitampura and others. The flats are in the categories of HIG, MIG, LIG and Janta, with prices ranging from ₹7.07 Lakhs to 1.26 crores based on the type of house and location you opt for.
The scheme may be a fortnight old, but it is gaining traction from the masses who are trafficking the website of DDA and others that contain the critical information regarding the scheme. Just when the entire country was keeping its finger crossed to the GST implementation, came the pleasant surprise from the DDA which rolled out the housing scheme on June 30, 2017. You can apply for the same until 11th August, 2017, the last date of making the application. There are many new things that have come across in the housing scheme. Let’s catch all such new developments pertaining to DDA Aawasiya Yojana 2017.
New Things at a Glance
Linking with PMAY– The biggest development, if one would find from the scheme, is its linking with Pradhan Mantri Awas Yojana (PMAY). This was clarified by the Union Urban Development Minister Venkaiah Naidu while launching the much-awaited DDA Housing Scheme. If you are reading newspapers on a regular basis, you must have heard the phenomenon more often than not in the last 4-5 months. But if you are struggling to decode the value of Pradhan Mantri Awas Yojana (PMAY) with respect to your dream home possession, let’s just start and do the same.
PMAY scheme covers four categories of income segments-EWS, LIG, MIG-I, MIG-II-which do not have a house under their, spouse or children’s name. Credit linked interest subsidy (CLSS), a vital cog on which the success of PMAY hinges, lets home buyers avail interest concession on a home loan to buy or construct a property. The maximum tenure of the loan is limited to 20 years. The interest subsidy distribution is different among the income segments.
Economically Weaker Section (EWS) refers to those segment of the population whose annual income stands upto ₹3 lakhs, while Low Income Group (LIG) covers people with an income of upto ₹6 lakhs a year. The Middle Income Group-I (MIG-I) includes individuals with a yearly income of ₹6,00,001-12,00,000, while MIG-II has prospective home buyers having an income of more than ₹12,00,000 but upto ₹18,00,000 in a year. While the interest subsidy for EWS/LIG is given at the rate of 6.5% for a loan amount of upto ₹6 lakhs, the same for MIG-I and MIG-II is 4% for a loan of upto ₹9 lakhs and 3% for a loan of upto ₹12 lakhs, respectively. The loan amount, above the said limits in each of the categories, will be charged at the normal interest rate.
Example-If your annual income is ₹5 lakhs a year, you will come under LIG category. Assume you want to apply for a home loan of say ₹20 lakhs under PMAY scheme. The concerned lender offers the same and keeps the normal rate at 8.85% per annum. The subsidy will work out to be 6.5% on ₹ 6 lakhs. While the EMI and interest repayment would be ₹15,597 and ₹17,43,322, respectively, over the course of 20 years.
However, if you miss out on applying for the scheme, the EMI repayment would stand at ₹17,802 while the total interest to be paid over the loan tenure is ₹22,72,488. The difference is evident, isn’t it? You are saving an EMI of ₹2,205 (17,802-15,597) and a mouthwatering interest of ₹5,29,166 (22,72,488-17,43,322) with CLSS PMAY scheme.
Application Money ‘Funda’– The application money for HIG & MIG flats is ₹2 lakhs and 1 lakh for LIG & Janta flats. Last time around in 2014 housing scheme, the banks allowed buyers to apply for the scheme by paying a minimum sum of ₹5,000. The remaining amount was getting paid from the concerned banks to the DDA. But now, there is a slight change to it. The banks will do that but only on a personal loan basis. The interest rates on a personal loan can be somewhere between 11%-25% across the banks which are offering application form and various scheme related transaction facility. The DDA has joined hands with the following eight banks-
- State Bank of India (SBI)
- HDFC Bank
- ICICI Bank
- Kotak Mahindra Bank
- Axis Bank
- YES Bank
- Central Bank of India
- IDBI Bank
So, these are some of the changes that the DDA Aawasiya Yojana 2017 would witness. If you find a flat of your choice at your buying ability, there is no one in the world who can stop you from owning a house in Delhi.