Low-cost home loans have seen a surge due to reverse migration during the pandemic, said Atul Monga, CEO of BASIC Home Loan.

According to Monga, the pandemic has led to reverse migration and those workers are now eager to stay in their hometowns and thus a surge in low-cost affordable housing loans.

The company disbursed reduced price affordable housing loans of less than Rs 10 lakh worth Rs 300 crore during FY22. Nearly 75% of its loans were under Pradhan Mantri Awas Yojana to this segment.

“We have been surprised by the growth that this segment has experienced in the last fiscal year. For us, the disbursements for PMAY projects were a great success, especially in cities such as Ujjain, Alwar, Bhiwani, Agra, Sonipat, Ajmer, Bulandshahr, – he said Monga.

According to the latest data, under PMAY-U, Rs 1.14 crore has been sanctioned so far involving a core attendance of Rs 1.86 crore. Of the sanctioned houses, 92.38 lakh houses have been grounded for construction; of which 54.40 lakh houses have been completed and the remaining ones are in various stages of construction. Under PMAY (Rural) around Rs 2.29 crore has already been sanctioned.

Last month, in a written response to the Rajya Sabha, Rural Development Minister Sadhvi Niranjan Jyoti said house construction was delayed due to COVID-19 induced restrictions, delayed release of central and state holding from the state treasury to the nodal state account. of PMAY-G among other reasons.