Pradhan Mantri Awas Yojana – Urban 2.0 (PMAY-U 2.0)
Objective: Provide financial assistance for 1 crore houses to urban poor and middle-class families over 5 years (2024–2029) to achieve 'Housing for All'. Budget: ₹10 lakh crore total investment; Government assistance of ₹2.30 lakh crore. Approved: August 9, 2024. Implementation: September 1, 2024 onwards. Key Features — Four Verticals: 1. Beneficiary-Led Construction (BLC): Individual EWS families build on own land; Central assistance ₹2.50 lakh/unit (₹2.25 lakh for NE/Himalayan states) 2. Affordable Housing in Partnership (AHP): EWS units via public-private collaboration 3. Affordable Rental Housing (ARH): Rental units for workers, migrants, low-income groups 4. Interest Subsidy Scheme (ISS): 4% interest subsidy on first ₹8 lakh loan up to 12 years; max ₹1.80 lakh subsidy per beneficiary Eligibility: • EWS: Annual income up to ₹3 lakh • LIG: ₹3–6 lakh • MIG: ₹6–9 lakh • Must not own pucca house anywhere in India February 2026 progress: Over 13.61 lakh houses sanctioned; the 23 February 2026 CSMC approvals covered 16 states/UTs.
- PMAY-U 2.0 approved on August 9, 2024 aims to provide financial assistance for 1 crore houses to urban poor and middle-class families over 5 years (2024–2029)
- Total investment of ₹10 lakh crore with Government assistance of ₹2.30 lakh crore
- Four verticals: Beneficiary-Led Construction (BLC) with ₹2.50 lakh/unit, Affordable Housing in Partnership (AHP), Affordable Rental Housing (ARH), and Interest Subsidy Scheme (ISS) with 4% subsidy on first ₹8 lakh loan
- Eligibility based on income: EWS up to ₹3 lakh, LIG ₹3–6 lakh, MIG ₹6–9 lakh; must not own pucca house anywhere in India
- Over 13.61 lakh houses sanctioned; the 23 February 2026 CSMC approvals covered 16 states/UTs
What is PMAY-U 2.0 and what is its overall objective?
PMAY-U 2.0 provides financial assistance for 1 crore houses to urban poor and middle-class families over 5 years (2024-2029), aiming to achieve 'Housing for All'. It was approved on August 9, 2024 with implementation from September 1, 2024.
What is the total investment and government assistance under PMAY-U 2.0?
PMAY-U 2.0 envisages a total investment of ₹10 lakh crore, with government assistance of ₹2.30 lakh crore. It is implemented by the Ministry of Housing & Urban Affairs through four verticals across the country.
What are the four verticals of PMAY-U 2.0?
The four verticals are Beneficiary-Led Construction (BLC), Affordable Housing in Partnership (AHP), Affordable Rental Housing (ARH), and Interest Subsidy Scheme (ISS), targeting different housing needs of urban families.
What is the Interest Subsidy Scheme (ISS) under PMAY-U 2.0?
ISS offers a 4% interest subsidy on the first ₹8 lakh of home loan for up to 12 years, with a maximum subsidy of ₹1.80 lakh per beneficiary. Eligible borrowers are EWS, LIG, and MIG families without a pucca house.
What are the income limits and latest progress under PMAY-U 2.0?
Income limits are up to ₹3 lakh for EWS, ₹3-6 lakh for LIG, and ₹6-9 lakh for MIG. As of December 2025, over 13.61 lakh houses have been sanctioned across 16 states and UTs under PMAY-U 2.0.
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