Interest Subsidy For Middle-Income Home Loan Borrowers Extended

The government extended the interest subsidy that borrowers in the middle-income group get for buying affordable homes by 15 months.

The scheme that provides interest subsidy of about Rs 2.6 lakh on home loans under the Pradhan Mantri Awas Yojana (Urban) has been extended till March 2019, Durga Shanker Mishra, secretary (housing and urban affairs), Government of India, said at the Real Estate and Infrastructure Investors Summit' organised by NAREDCO, in Mumbai.

The scheme, announced by Prime Minister Narendra Modi in December last year, allows home loan borrowers with an annual income of Rs 6-12 lakh an interest subsidy of 4 percent on a 20 year-loan of Rs 9 lakh. Those with an income of Rs 12-18 lakh get a relief of 3 percent.

Mishra urged private investors to come forward and invest in affordable housing.

At the same event, newly appointed housing minister Hardeep Singh Puri unveiled a policy to encourage private-public partnership in affordable housing.

Also Read: Centre Announces Policy To Promote Private Investment In Affordable Housing

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