Pradhan Mantri Awas Yojana–Urban 2.0 has reached an important milestone, with more than 18.38 lakh homes sanctioned across India. The programme aims to make permanent housing more accessible to eligible urban families from the Economically Weaker Section, Low-Income Group and Middle-Income Group.

Under PMAY-U 2.0, housing assistance is provided through four main components:

• Beneficiary-Led Construction helps eligible EWS families construct a permanent house on their own land.

• Affordable Housing in Partnership provides affordable homes developed by public or private agencies.

• The Interest Subsidy Scheme offers eligible home-loan borrowers an interest subsidy.

• Affordable Rental Housing supports rental accommodation for urban migrants, working people and other eligible groups.

Who may be eligible?

Applicants generally need to live in an urban area and should not own a permanent house anywhere in India. The annual household-income limits are up to ₹3 lakh for EWS, up to ₹6 lakh for LIG and up to ₹9 lakh for MIG applicants.

A person who has already received a house through another Central, State, Union Territory or local-government housing scheme during the previous 20 years may not be eligible.

What financial assistance is available?

Eligible EWS families may receive assistance of up to ₹2.5 lakh under Beneficiary-Led Construction. The Interest Subsidy Scheme applies to qualifying home loans sanctioned and disbursed on or after 1 September 2024 for purchasing, repurchasing or constructing a home.