The labour ministry is all set in preparing a large housing scheme for the Employee Provident Fund subscribers wherein over five crore subscribers of the EPFO will be offered affordable housing in accordance with the agenda of the central government “Housing for All by 2022”.
The labour ministry proposes to collaborate with the various Public sector units, PSU banks, state owned construction companies like NBCC, National Housing development Authority, Delhi Development Authority (DDA), HUDA, PUDA, etc. to construct houses at a price fixed by the government.
The ministerial sources said that the labour ministry is currently preparing schemes for offering affordable housing for the Employees Provident Fund Organization subscribers and especially for those under the low income group category. With this the sources said that there are over 70 percent of the EPFO subscribers whose wages are lesser than Rupees 15, 000 per month.
The prime minister’s office sent a recent note asking the retirement fund body to promote this initiative of providing affordable housing for the subscribers and to utilize its funds for this purpose. The sources from Provident Fund Office said that if a corpus from the EPFO is created deploying 15 percent of the total provident fund it will amount to a credit flow of about Rupees 70 000 crores and is equivalent to funds required for 3.5 lakh additional low cost homes for the subscribers. Presently the EPFO manages a huge sum of Rupees 6.5 lakh crores and its annual incremental deposits is more than Rupees 70,000 crore. The EPFO is looking at a scheme wherein the subscribers can utilize their provident fund savings as a loan to fulfil the part payments of the cost of houses. Presently according to the stipulations the EPFO subscribers can withdraw money for the cause of building houses after completing five years of contribution to the provident fund.
The labour ministry is also thinking of options where it can provide subsidy to the EPFO subscribers who belongs to the low income category to facilitate the subscribers to avail various schemes of the government for low cost housing. This scheme will be kept optional for the subscribers of the EPFO as the ministry doesn't consider it necessary to provide affordable houses for the ones who already own a house.
The housing schemes will have different categories under different income brackets namely high income, low income and middle income. The houses offered and the financial schemes and incentives will be according to the basis of one’s income category.
Through the provident fund account the subscribers will pay the equal monthly instalments’ of the home loan procured. Information from sources reveals that the Employees Provident Fund Organization may create a fund from the total funds to create provisions for the housing loans for the subscribers at reasonable interest rates.
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This plan for providing affordable housing scheme by EPFO for its subscribers is to support the mid income group so that they won’t struggle to buy a home after their retirement also they planned for providing house loan with low interest rate for its subscriber. Now the argument behind this is most of the people are struggling for a house in their entire working period and even after retirement they put their entire provident fund on it so by this scheme workers will be benefited. It is also planned that subscribers may contribute 12% of their salary towards EPFO still this home for all project may complete by 2022.
ReplyDeleteThis EPFO plan "home for all" is made by keeping everyone in eye, starting from low income to high income group all can take home loan according to their need. It would made the home loan process easy for common man and by the time of their retirement they will have a home to live in it. This plan will be very helpful for those government employee who lives their entire service period in government quarters and struggle for home after their retirements.
DeletePretty awesome news for middle class salaried employees who struggles for their entire life with their family to get their own home. Still this EPFO plan can not be successful if all banks specially the psu banks will not come to give their hands for merge in, few builders should come forward to stand behind the government with innovative ideas of construction.
DeleteYup!! this is true most of the salaried Government employee struggle to buy a home for their family even after their retirement, by this plan they can be benefited and it will put down some pressure from their head. Here I should say people should invest on a pre launched project which are sold in a lower than the actual market price of the flat and their are builder who are demanding only 30-50 percent of the total amount as their booking amount and the rest amount will pay after completion of the project so this could be a nice option to get reed of home seeker burden.
DeleteThe prime minister and labor ministry they both are preparing well planned for all the employees to have their own home by 2022. I’m happy with the agenda of central governments because they planned to book the houses by the help of Provident funds. And also so many people are there in India whose salary is very less than 15k for them this strategy will definite suites.
ReplyDeleteDefinitely it will be a helping hand for those people who are struggling to afford an own home in Bangalore even after their retirement, may be these EPFO team will come with more affordable home for mid income group people. Still for a reference now in market Dreamz infra is the one builder whose price and quality is unmatched to any builders present here.
ReplyDeleteThis is true that Dreamz price is unmatched lets see in what price government will sell its property to its mid income citizen. Sooner or later a beautiful debate will be going on this topic because if a private company can come with such affordable price for the public then why not Government?
DeleteAfter a long time a decision has taken by Government that houses for all.Within 2022 all the people of INDIA will get their home but its a very risky job for government.All the developing organization of the cities have to co-operate with government decision. People of INDIA should welcome the government for this new proposal.
ReplyDeleteI’m very much happy with the strategy of based on EPF hand over’s the homes to each and every employee who needs it most. If the government decided to give the homes for those people who doesn’t have their own homes mean they must have to do it and please don’t break the trust of employees..
ReplyDeleteFrom the labor ministry resources people got to know that labor ministry is trying to give the affordable flats for people of India . Specially for those people who are under poverty. Actually 70 percent of the EPFO subscriber those who has less 15k income per month they only can apply. Really this a very perfect move from new government of India which is appreciable by all the zone.
ReplyDeleteThank you all for your wonderful comments.
ReplyDeleteWow its great sound by the help of Pf employees will get homes. If this scheme is guaranteed to help in future then each and every jobless person starts searching of jobs in any of the fields.Those jobless people can start doing job for at least home purpose.
ReplyDeleteUsing this EPFO plan Government wants help those people whose salary is less than 15k. With in 2022 this plan will be pass. But its not a easy way to make this plan , for this Government have to serious that their should be no corruption during alloting the flats. But its an appriciable step from the Karnataka Government.
ReplyDeleteThe housing scheme which will be follows to distribute to the employees based on the categories of payments like high, low, middle incomes. This idea will works well in future means then all the employees will have their own home and think by gone through this news they are in exciting mood to go for this plan.
ReplyDeleteEPFO plan those who are getting less than 15k per month and people will get on 2022. But Dreamz Infra is private company still they are providing affordable flats in Bangalore from past 4 years then why the Bangalore Government can't do it? I mean to say Dreamz Infra can see the future and can predict perfectly that much of amount will not spend for making a flat. Like other builder, they are selling the same flat more than 50 lakhs.
ReplyDeleteVery perfect answer Mr Sathaki. Our government taking it very late which is not acceptable. Still people are thinking Congress Government will take some action for society here in Karnataka. If a small Infrastructure company can do it then why not the congress government ? Really appreciate to the company like Dreamz Infra who is providing the affordable flats in very less price.
DeleteEmployees can get the loans based on their monthly provident funds, and employees can get the home based of their PF its not mandatory to buy the homes. The govt kept this scheme as optional; this is one of the good advantages for all the employees. The govt is not only helping to the employees by keeping this scheme but also giving strengths to those jobless people to join jobs immediately.
ReplyDeleteI think most of the middle class people and mid level employees of Bangalore will be befitted by this provision, this loan facility will be very helpful to public as common people finds it very difficult to approve loan from financial institution, a 12% deduction from their salary won't matter too much against paying monthly EMI on home loan.
ReplyDeleteTill five years employees has to wait to get affordable homes from the govt by employees monthly provident funds. We don’t know about future and can’t wait till five years instead of this EPFO plan we can by the affordable homes from Dreamz builder by paying very less amounts. For the registration we have to pay few amounts after that we can use EMI.
ReplyDeleteThe EPFO plan will distribute the flats as per the income category. It will delay too much just because of it's a government plan. But if you think then you can get a flat with a affordable range which will be in good location also.In Bangalore Dreamz Infra is the only one company who can provide this.
ReplyDeleteThis scheme came very late for the people because many builders using this type of scheme. Here in this scheme people pay the monthly installment or they can go for home loan.Now the builders are also following the same plan. But the investing with a builder is not safe that is why people can invest their hard working money in the EPFO plan, which much reliable.
ReplyDeleteIt’s good to buy the affordable homes from Dreamz because so many employees were bought their dreams homes from Dreamz builder. Nobody will trust on the Government homes because that will be constructed by very low quality of materials. So that professionals prefer affordable homes from Dreamz builder at very low price with more amenities.
ReplyDeleteThis is a common perception of people, Mr Srinath towards Government that any project is done must be low quality and cheap. It remind me a proverb saying low priced products are always cheap but let me tell you its not true. Some thing is cheap in price that doesn't mean its quality will be low. When government prepare something, it prepare according to its citizen well high class amenities is not need of mid income group they need a home to live happily these luxurious amenities came last when it comes to solving home related problems.
DeleteBy this EPFO plan many middle class people will be helpful. But this actually not a time to do so. This should be happen before five years then the government will praise by the people. Same this plan is adopted by many builders in Bangalore, then why should people will go for EPFO plan. If the private company can give this facility with best service no need for government.
ReplyDeleteIf we don’t know about tomorrows then why should we have to wait till for the future, I’m going to say is instead of waiting five year we can go for Dreamz builder in which we can get affordable homes at very less amounts, the good quality of amenities with all fitting services and maintenance home at all over the Bangalore.
ReplyDeleteHere lots of thoughts and discussion on this topic of EPFO Home For All plan which might be executed by 2022, this shows the excitement of people in all over India when Government is planning something for its people. If people wants to see its sucess than everyone including common people should well come this and all the measure financial institution and builders should come together to see its success.
ReplyDeleteBuying a property from government and your dream home will in front of you. Is it so? Everybody knows the government office policies. Without giving bribe to the employee your file will never move. So please don't even think to go for EPFO plan.
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