Demand to permit instalment payment of ₹1 lakh under housing scheme

Chhatrapati Sambhajinagar

Around 4,000 beneficiaries selected through a lottery under the Pradhan Mantri Awas Yojana have been directed by the municipal corporation to deposit Rs 1 lakh as their contribution by April 30. Beneficiaries say arranging such a lump sum is difficult and have demanded permission to pay the amount in three to four instalments.

The corporation is constructing housing projects at Padegaon, Tisgaon, Harsul and Sundarwadi. Of nearly 40,000 applicants, 11,120 houses were taken up in the first phase, with 4,000 beneficiaries allotted homes through a lottery. Each unit costs between Rs 9 lakh and Rs 12 lakh. A subsidy of Rs 2.5 lakh will be provided jointly by the Central and State governments, while the remaining amount must be financed through a home loan. With interest, the total cost may rise to Rs 15 lakh. Beneficiaries have noted that possession will take another one to one-and-a-half years, even after paying Rs 1 lakh upfront. Some have also raised concerns over Tisgaon’s distance from the city. A few are considering withdrawing from the scheme despite forfeiting the Rs 5,000 already paid.

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Loan hurdles

After issuing a no objection certificate (NOC), the corporation expects beneficiaries to secure bank loans independently. However, applicants above 50 years face loan eligibility issues. Many belong to economically weaker sections and rely on daily wages, lacking stable income required by banks for sanctioning home loans.