PMAY Calculator 2026

Calculate your PMAY-U 2.0 (Pradhan Mantri Awas Yojana Urban) subsidy eligibility, interest subsidy amount, EMI savings, and total benefits. Get instant estimates of government housing subsidies for affordable home ownership.

What is Pradhan Mantri Awas Yojana (PMAY)?

Pradhan Mantri Awas Yojana (PMAY) is a flagship initiative launched by the Government of India on 25 June 2015 with the vision of providing "Housing for All" by 2022. The scheme was designed to provide affordable housing to the economically weaker sections (EWS), low-income groups (LIG), and middle-income groups (MIG) of urban and rural India. PMAY is implemented in two phases: PMAY-Urban (PMAY-U) for cities and towns, and PMAY-Gramin (PMAY-G) for rural areas. The urban component offers Credit Linked Subsidy Scheme (CLSS), where eligible beneficiaries receive interest subsidy on home loans, significantly reducing the financial burden of purchasing or constructing a house. In 2021, the scheme was extended and rebranded as PMAY-U 2.0 with enhanced benefits, streamlined eligibility criteria, and a maximum interest subsidy of up to ₹1,80,000. The scheme promotes women empowerment by mandating female co-ownership, ensuring housing security for families. PMAY has successfully enabled millions of Indian families to achieve their dream of owning a pucca house through government subsidies, making homeownership more accessible and affordable.

Eight Lakhs rupees

₹2LWithin limit₹20L

Twenty Five Lakhs rupees

₹1L₹50L

Thirty Five Lakhs rupees

₹1L₹70L
20 m²200 m²
years
1 year30 years
%
5%15%

Eligible for PMAY Subsidy

Congratulations! You are eligible for PMAY-U 2.0 subsidy.

Your PMAY Benefits

Subsidy and savings breakdown

Total PMAY Subsidy

1,80,000

Annual subsidy: ₹9,000

EMI Without Subsidy

22,493

/month

EMI With Subsidy

20,874

/month

Monthly EMI Savings

1,620

Total Interest Savings

₹3.89 L

Over 20 years

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Payment Schedule

Showing 1 to 12 of 240 entries

Total Principal

₹23.20 L

Total Interest

₹26.11 L

Total Payable

₹49.31 L

Month
EMI
Prin.
Int.
Balance
Jan 2026
₹20.54 K
₹3.14 K
₹17.40 K
₹23.17 L
Feb 2026
₹20.54 K
₹3.17 K
₹17.38 K
₹23.14 L
Mar 2026
₹20.54 K
₹3.19 K
₹17.35 K
₹23.10 L
Apr 2026
₹20.54 K
₹3.22 K
₹17.33 K
₹23.07 L
May 2026
₹20.54 K
₹3.24 K
₹17.30 K
₹23.04 L
Jun 2026
₹20.54 K
₹3.26 K
₹17.28 K
₹23.01 L
Jul 2026
₹20.54 K
₹3.29 K
₹17.26 K
₹22.97 L
Aug 2026
₹20.54 K
₹3.31 K
₹17.23 K
₹22.94 L
Sep 2026
₹20.54 K
₹3.34 K
₹17.21 K
₹22.91 L
Oct 2026
₹20.54 K
₹3.36 K
₹17.18 K
₹22.87 L
Nov 2026
₹20.54 K
₹3.39 K
₹17.16 K
₹22.84 L
Dec 2026
₹20.54 K
₹3.41 K
₹17.13 K
₹22.81 L

PMAY Subsidy Calculation Formula

Understanding how PMAY-U 2.0 subsidy is calculated

PMAY Subsidy Formula

Subsidy = NPV of Interest Subsidy @ 6.5% p.a.
NPV: Net Present Value of interest subsidy over loan tenure
Subsidy Rate: 6.5% per annum interest subsidy
Max Tenure: 20 years or actual tenure (whichever is lower)
Max Subsidy: Up to ₹1,80,000

Example Calculation

For a loan of ₹25 lakhs at 9% p.a. for 20 years:

  • Eligible loan amount: ₹25 lakhs (within limit)
  • Subsidy interest rate: 6.5% p.a.
  • Tenure for subsidy: 20 years (240 months)
  • Monthly subsidy rate: 6.5% / 12 = 0.542%
  • NPV calculated over 240 months
  • Total Subsidy: ₹1,80,000 (capped at maximum)
  • EMI without subsidy: ₹23,391
  • EMI with subsidy: ₹20,544
  • Monthly savings: ₹2,847

Key Benefits of PMAY-U 2.0

Government initiatives to make housing affordable for all

Interest Subsidy

Get up to ₹1,80,000 as interest subsidy credited upfront to your loan account, reducing principal and monthly EMI significantly.

Lower EMI Burden

Reduced principal means lower monthly EMI, making home ownership more affordable and manageable within your budget.

Women Empowerment

Female co-ownership requirement ensures women's participation in property ownership, promoting gender equality in assets.

Affordable Housing

Enables first-time home buyers to own a pucca house with government support, fulfilling the dream of home ownership.

PMAY-U 2.0 Eligibility Criteria

Check if you meet all the requirements for PMAY subsidy

Income Limit

Annual household income must be below ₹15 lakhs per year

Note: Includes income of all earning family members

First Home Buyer

Must be purchasing your first pucca house

Note: No family member should own a pucca house

Female Ownership

Mother or wife must be co-owner or sole owner

Note: Mandatory for subsidy approval

Carpet Area

Must be within prescribed limits (typically 30-60 sq meters)

Note: Varies by city category

Property Type

Must be a pucca house (permanent construction)

Note: Ready or under-construction

Loan Purpose

For purchase, construction, or purchase+construction

Note: Not for renovation or extension

Required Documents for PMAY Application

Keep these documents ready for smooth PMAY subsidy application

Identity & Address

Aadhaar Card (mandatory)
PAN Card
Voter ID / Passport
Utility bills (address proof)

Income Proof

Salary slips (last 6 months)
IT returns (last 2 years)
Form 16 / Income certificate
Bank statements (6 months)

Property Documents

Sale agreement / Allotment letter
Approved building plan
Property ownership documents
Occupancy certificate (if ready)

Important Notes

  • • Affidavit for first home ownership is mandatory
  • • Female co-owner documents required (marriage certificate, etc.)
  • • Loan sanction letter from bank/HFC needed
  • • All documents should be self-attested

Who Should Opt for PMAY?

Understanding if PMAY is right for you

Best Suited For

First-time home buyers with income below ₹15 lakhs
Families willing to have female co-ownership
Buyers purchasing affordable housing within carpet area limits
Urban residents looking for pucca house ownership
Families with stable income and repayment capacity

Not Suitable For

Those who already own a pucca house anywhere in India
Families with annual income above ₹15 lakhs
Buyers purchasing luxury or premium properties
Those unwilling to have female co-ownership
Investors or buyers planning to sell/rent soon (lock-in restrictions)

How to Apply for PMAY-U 2.0

Step-by-step guide to apply for PMAY subsidy

1

Check Eligibility

Verify income, property value, carpet area, and female ownership criteria using our calculator

2

Visit PMAY Portal

Go to the official PMAY website (pmaymis.gov.in) or apply through your lender

3

Register with Aadhaar

Create an account using Aadhaar authentication and basic details

4

Fill Application Form

Complete the online form with accurate personal, income, and property details

5

Upload Documents

Submit all required documents digitally (identity, income, property proofs)

6

Get Assessment ID

Save the unique assessment ID for tracking your application status

7

Bank Processing

Your lender will process the subsidy claim and forward to PMAY authorities

8

Verification

Government authorities will verify your application and documents

9

Subsidy Credit

Upon approval, subsidy is credited directly to your loan account upfront

Pro Tip

Apply through your lender's PMAY portal for faster processing. Most banks have dedicated PMAY cells to assist with applications and ensure all documents are in order before submission.

Frequently Asked Questions

Find answers to common questions about PMAY-U 2.0 subsidy, eligibility, and application process

What is PMAY-U 2.0 and who is eligible for it?

PMAY-U 2.0 (Pradhan Mantri Awas Yojana - Urban 2.0) is a government scheme providing interest subsidy on home loans to make housing affordable for urban residents. The scheme offers credit-linked subsidy up to ₹1,80,000.

Key Eligibility Criteria: Must be first-time home buyer, property should be pucca house, annual household income within limits, carpet area within prescribed limits, and preferably female co-ownership.

What is the maximum subsidy I can get under PMAY-U 2.0?

Under PMAY-U 2.0, eligible beneficiaries can receive an interest subsidy of up to ₹1,80,000 on their home loan. The subsidy is calculated based on the loan amount, tenure, and interest rate differential.

  • Maximum Subsidy: Up to ₹1,80,000
  • Calculation: Based on NPV of interest subsidy over tenure
  • Direct Benefit: Subsidy credited upfront, reducing loan principal
  • Impact: Significantly reduces EMI and total interest outgo

What are the income limits for PMAY-U 2.0 eligibility?

PMAY-U 2.0 has specific annual household income criteria. The income includes all earning members of the family (husband, wife, and unmarried children).

Income RangeEligibility
Below ₹15 lakhs/yearEligible for subsidy
Above ₹15 lakhs/yearNot eligible

Why is female ownership important in PMAY-U 2.0?

Female ownership (mother or wife as co-owner) is a key criterion for PMAY-U 2.0 eligibility. This promotes women empowerment and ensures housing security for families.

Important: The property must have the mother or wife as co-owner or sole owner to qualify for the subsidy. Properties registered only in the male member's name may not be eligible.

  • Ensures women's participation in property ownership
  • Provides housing security to women
  • Promotes gender equality in asset ownership
  • Mandatory criterion for subsidy approval

What is the carpet area limit under PMAY-U 2.0?

PMAY-U 2.0 has specific carpet area limits to ensure the scheme benefits genuinely affordable housing. The carpet area is the net usable floor area (excluding walls, balconies, and common areas).

Carpet Area Limits: Typically ranges from 30 to 60 square meters depending on the city category. Metropolitan cities may have higher limits compared to smaller towns.

Note: Check with your local urban development authority for specific carpet area limits applicable in your city.

What documents are required to apply for PMAY-U 2.0?

To apply for PMAY-U 2.0 subsidy, you need the following documents:

Identity & Address Proof:

  • Aadhaar Card (mandatory)
  • PAN Card
  • Voter ID / Passport
  • Utility bills for address proof

Income Documents:

  • Salary slips (last 6 months)
  • IT returns (last 2 years)
  • Form 16 / Income certificate
  • Bank statements (last 6 months)

Property Documents:

  • Sale agreement / Allotment letter
  • Property documents
  • Approved building plan
  • Occupancy certificate (if ready)

Other Documents:

  • Affidavit for first home ownership
  • Caste certificate (if applicable)
  • Marriage certificate (for joint ownership)
  • Loan sanction letter from bank

How is the PMAY subsidy calculated and disbursed?

The PMAY subsidy is calculated as the Net Present Value (NPV) of the interest subsidy over the loan tenure. The subsidy is credited upfront to the loan account.

Calculation Process: The government calculates NPV of interest subsidy @ 6.5% for the loan tenure (up to 20 years or actual tenure, whichever is lower). This amount is credited upfront, reducing your principal loan amount.

  • Step 1: Calculate eligible loan amount based on income category
  • Step 2: Compute interest subsidy NPV over tenure
  • Step 3: Verify maximum subsidy cap (₹1,80,000)
  • Step 4: Credit subsidy to loan account upfront
  • Result: Reduced principal = Lower EMI and total interest

Can I avail PMAY subsidy for under-construction property?

Yes, you can avail PMAY subsidy for under-construction properties, provided the project is approved by the competent authority and meets PMAY guidelines.

Key Requirements: The property should be part of a PMAY-approved project, builder must be registered, construction should be as per approved plan, and carpet area must be within prescribed limits.

The subsidy will be disbursed once the loan is sanctioned and the necessary documentation is verified. For under-construction properties, ensure the builder has obtained PMAY approval for the project.

What happens if I sell the property before loan closure?

If you sell the PMAY-subsidized property before the loan tenure is complete, you may need to return the subsidy amount to the government, depending on the scheme guidelines.

Important Lock-in: PMAY properties typically have a lock-in period where you cannot sell or transfer the property. Selling before this period may result in subsidy recovery by the government.

  • Check the specific lock-in period in your PMAY approval letter
  • Subsidy may be recovered proportionately if sold early
  • Consult with your lender before making transfer decisions
  • Legal implications vary by state - verify local rules

Can I transfer my PMAY subsidy to another family member?

No, the PMAY subsidy is non-transferable. It is linked to the specific beneficiary, property, and loan account. The subsidy cannot be transferred to another person or used for a different property.

Key Points: Subsidy is one-time benefit per family, linked to specific property and loan, cannot be encashed or transferred, and applies only to the original applicant.

What are the tax benefits available with PMAY home loans?

Apart from PMAY subsidy, you can claim tax benefits on your home loan under various sections of the Income Tax Act:

Section 80C

Deduction up to ₹1.5 lakh on principal repayment

Section 24(b)

Deduction up to ₹2 lakh on interest payment for self-occupied property

Section 80EEA

Additional deduction of ₹1.5 lakh on interest for first-time buyers (affordable housing)

Stamp Duty & Registration

Women buyers get concession on stamp duty in many states

Note: Tax laws are subject to change. Consult a tax advisor for personalized advice.

How do I apply for PMAY-U 2.0 subsidy?

You can apply for PMAY-U 2.0 subsidy through the following steps:

  1. Check Eligibility: Verify income, property value, carpet area, and female ownership criteria
  2. Visit PMAY Portal: Go to the official PMAY website (pmaymis.gov.in)
  3. Register: Create account with Aadhaar authentication
  4. Fill Application: Complete the online form with accurate details
  5. Upload Documents: Submit all required documents digitally
  6. Get Assessment ID: Save the unique assessment ID for tracking
  7. Bank Processing: Your lender will process the subsidy claim
  8. Verification: Authorities will verify your application
  9. Subsidy Credit: Upon approval, subsidy credited to loan account

Pro Tip: Apply through your lender's PMAY portal for faster processing. Most banks have dedicated PMAY cells to assist with applications.

Who should opt for PMAY-U 2.0 and who should avoid it?

Who Should Opt for PMAY:

  • First-time home buyers with annual income below ₹15 lakhs
  • Families willing to have female co-ownership
  • Buyers purchasing affordable housing (within carpet area limits)
  • Urban residents looking for pucca house ownership
  • Families with stable income and loan repayment capacity

Who Should Avoid:

  • Those who already own a pucca house anywhere in India
  • Families with annual income above ₹15 lakhs
  • Buyers purchasing luxury or premium properties
  • Those unwilling to have female co-ownership
  • Properties exceeding prescribed carpet area limits
  • Investors or buyers planning to sell/rent soon (lock-in restrictions)