Section 9 in Regulations For The Disbursement of Loans Under The Low Income Group Housing Scheme, 1968
9. Amount of loan.
(1)The amount of the loan shall be restricted to 80 per cent. of the cost of construction of the house proposed to be constructed or purchased inclusive of the value of the land subject to a maximum of Rs. 12,500 per house.(2)Loan under the scheme shall be advanced subject to the further condition that the borrower who takes the loan shall invest an amount equal at least to 25 per cent. of the loan out his own funds.(3)Documentary evidence of income assessed for purposes of income tax or a certificate from the employer or any two responsible persons to the satisfaction of Housing Commissioner to the effect that the borrower comes within the eligible income group will be taken in proof of the annual income of the intending borrower.(4)No assistance shall be admissible towards cost of land and/or construction of a house in a colony of which the layout, etc. , has not been approved by the competent authority; and no loan assistance shall be granted in those cases where the construction of house/houses has been commenced before the loan is sanctioned by the Parishad.
