Planning to buy a house? This is the best time to invest in one, according to Keki M Mistry, vice chairman and chief executive officer of Housing Development Finance Corp.
Mistry spoke to CNBC-TV18 about the Pradhan Mantri Awas Yojana (PMAY) and conditions to avail the subsidy under the government's flagship housing scheme.
Under the PMAY, the housing and urban affairs ministry has increased the carpet area of houses eligible for interest benefit for the middle-income group (MIG) by 33 percent.
“The first condition was that he should not be owning any other house at that point of time. The second condition was that the size of the dwelling unit has to be less than 150 square meter which has now been increased to 200 square meter and the third condition was that the income of the individual has to be Rs 18 lakh a year,” said Mistry.
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According to him, 150 square meter area has been a constraint in smaller towns because people generally construct larger houses in such towns.
“If anyone looking to buy a house then this is the incentive that you need and this is the right time to buy a house,” said Mistry.
He further added that about 20 percent of customers taking loan from HDFC are eligible under the PMAY and payment from the government has been pretty prompt.