Context: Recently Odisha government announced a new initiative, Mo Ghara (My Home) – a credit-linked housing scheme for the rural poor in the state with an aim to convert all kutcha houses into pucca ones.
Benefits of the Scheme
- Under the Mo Ghara scheme, a beneficiary can avail housing loan of up to Rs 3 lakh that can be repaid in 10 years in easy instalments excluding one year moratorium period.
- The state government will release capital subsidy to the loan account of the beneficiaries on completion of the house.
- There will be four slabs of the loan amount. The rates of the subsidy will be Rs 30,000 for a Rs 1 lakh loan, Rs 45,000 for a Rs 1.5 lakh loan, and Rs 60,000 for a loan amount of Rs 2 lakh and Rs 3 lakh.
- The subsidy will be Rs 10,000 more across slabs for those belonging to the SC/ST category and for the differently abled
Special features of the scheme
- Banks have been asked not to charge any processing fee from beneficiaries.
- The government has also waived registration fees and stamp duties required during the mortgage of the title deed to further reduce the financial burden for the beneficiaries.
Who is eligible?
- A family staying in a kutcha house or one pucca room with a concrete roof is eligible to get the loan under the Mo Ghara scheme.
- Families that have not availed of any government housing assistance or have availed assistance of below Rs 70,000 in the past with a monthly income below Rs 25,000 will also be eligible under the scheme.
Who can’t be a beneficiary?
- Families having four-wheelers or any member in government service or irrigated land of five acres or more will not be eligible for the loan.