If you want to buy your dream house in this festive season. But if you are short of money and you want to buy a house then you can take advantage of some plans. The central government has started several schemes to buy houses, through which you get subsidy. These schemes make it easy to buy homes. The Government of India has introduced several schemes and subsidies to help you save on home loans during the festive season.
The scheme provides interest subsidy on home loans to individuals belonging to the economically weaker section (EWS), Low Income Group (LIG) and Middle Income Group (MIG). The amount of subsidy vary depending on the income group. This can be up to 6.5 percent of the loan amount. Rupees taken for a period of 20 years. A home loan of less than 50 lakhs will be eligible for the proposed scheme.
Credit Linked Subsidy Scheme (CLSS)
It is a component of the Pradhan Mantri Awas Yojana and provides subsidy on home loan interest for EWS, LIG and MIG. The subsidy amount can be up to 6.5 percent of the loan amount and is available for a maximum of 20 years. Some state governments give concessions on stamp duty and registration fee during the festive season.
Goods and Services Tax (GST)
The government has reduced GST from 12% to 5% on properties under construction for affordable housing and GST on other properties from 18% to 5%. This deduction reduces the total value of the property. So this can help in reducing home loan.
Interest subsidy scheme for urban housing
The Government of India is planning to spend ₹ 600 billion ($ 7.2 billion) in the next five years to provide concessional loans for small urban houses. This scheme is Rs. Will offer an annual interest subsidy between 3-6.5 percent on a loan amount up to 0.9 million. This scheme can benefit applicants with Rs 25 lakh less income in urban areas.
