Low Response to Mumbai MHADA Housing Scheme, High Cost and Loan Availability Concerns Cited as Reasons

Mumbai, 12th June 2023: The allotment of 4082 houses by the Mumbai Board of MHADA still does not seem to be getting enough responses. Between May 22 and June 10, only 17,000 applications were filed with the deposit amount. For the first time in Mumbai, houses are being sold by MHADA under the Pradhan Mantri Awas Yojana (PMAY), but there has been no response to these houses. Under this scheme, a maximum of 1,047 houses have been made available to the low-earning group.

However, till now (June 10), only 3,131 applications have been filed for these houses with deposit amounts. At the same time, 1,795 houses in the MHADA housing scheme are getting good responses. 12 thousand 892 applications have been filed for these houses.

After four years, the MHADA residences in Mumbai will be raffled off. This draw also includes a maximum of 3824 houses for the low- and very-low-income groups. However, there has been no response to the draw. The revised draw protocol requires online eligibility to be verified prior to the draw by submitting the required papers. As a result, only those who are eligible and in need apply for the draw. The number of applications filed with a deposit is rather low. At the same time, the number of applications appears to have declined due to the higher cost of houses in MHADA as well as the non-availability of home loans due to the price-income disparity.

The lot includes the maximum number of 2683 houses in the Goregaon Pahari area, and it was predicted from the beginning that these houses would get the highest response. But out of these 2683 houses, 1947 houses belonging to minority groups have been included in PMAY. Since there are a large number of husband-and-wife earners in Mumbai, many aspirants do not fit within the income limit of three lakhs. The condition that there should be no house anywhere in India does not seem to be fulfilled. Houses are becoming expensive even for those who fulfil the condition of the income limit, and since it will not be possible to get a home loan, the picture is that these houses are not getting responses. So far, only 3131 people have confirmed their applications for 1947 houses in PMAY by paying the deposit amount.

These houses are located in Antop Hill, Kannamwar Nagar, Pahadi (Alp), Unnat Nagar, and Magathane. The board has received 1498 applications for 139 houses from private developers, and only 564 applications have been submitted with deposit amounts. These houses are located in Andheri, Juhu, Goregaon, Ghatkopar, and Vikhroli. The expensive 75 houses in the ongoing construction project that the Mumbai board got in Dadar have also received less response. For this, 360 applications have been received, and only 105 applications have been filed with the deposit amount.