Section 7(1) in The Regulations For Disbursement of Loans Under The Middle Income Group Housing Scheme, 1968
(1)(a)The amount of the loan shall be restricted to eighty 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.25,000 per house.(b)No assistance shall be admissible towards cost of land and/or construction of a house in a colony of which the layout, has not been approved by the competent authority; and no loan assistance shall be granted in those cases where construction the house has been commenced before the loan is sanctioned by the Parishad.
