The Karnataka state government has launched several housing initiatives in 2025 to provide affordable housing to its residents, particularly targeting economically weaker sections (EWS), low-income groups (LIG), and marginalized communities. These schemes are designed to alleviate the housing shortage and improve living conditions across urban and rural areas.

Karnataka’s Free and Subsidized Housing Schemes in 2025
1. Chief Minister’s One Lakh Housing Scheme (CM One Lakh Housing Scheme)
This flagship program aims to construct over one lakh residential units in Bengaluru for low-income families. The scheme is implemented by the Rajiv Gandhi Rural Housing Corporation Limited (RGRHCL) and offers subsidized housing options to eligible beneficiaries.(MagicBricks, Basic Home Loan)
Key Features:
- Target Beneficiaries: Economically weaker sections residing in Bengaluru for at least five years.
- Subsidy Details: Beneficiaries receive a subsidy ranging from ₹2.70 lakh to ₹3.50 lakh, depending on their category and housing type. (Basic Home Loan)
- Reservation Breakdown:
- General Category: 50%
- Scheduled Castes (SC): 30%
- Scheduled Tribes (ST): 10%
- Minorities: 10%
- Application Process: Interested individuals can apply through the official Ashraya portal: ashraya.karnataka.gov.in.(ashraya.karnataka.gov.in)
2. Basava Vasati Yojana
This scheme focuses on providing affordable housing to the economically and socially disadvantaged in rural areas of Karnataka. Implemented by RGRHCL, it aims to construct homes for those who lack proper housing facilities.(NoBroker, ashraya.karnataka.gov.in)
Eligibility Criteria:
- Income Limit: Annual income should not exceed ₹32,000.(HomeBazaar.com)
- Land Ownership: Applicants must own land or a kutcha house.(HomeBazaar.com)
- Housing Status: Should not own a pucca house anywhere in India.(Housing)
- Residency: Must be a permanent resident of Karnataka. (HomeBazaar.com)
Application Process:
- Applications can be submitted through the official Ashraya portal: ashraya.karnataka.gov.in.(Basic Home Loan)
3. Karnataka Housing Board (KHB) Schemes
The Karnataka Housing Board offers various schemes catering to different income groups, ensuring equitable access to housing.(Housiey)
Major Schemes:
- Ashraya Scheme: Targets economically weaker sections, offering basic housing units at subsidized prices.(Housiey)
- Gruha Bhagya Scheme: Designed for low and middle-income groups, providing apartments with EMI-based payment options.(Housiey)
- Urban Renewal Scheme: Focuses on redeveloping flats with modern infrastructure for urban dwellers.(Housiey)
- NRI Housing Scheme: Caters to Non-Resident Indians, offering premium villas with special allotment quotas. (Housiey)
Upcoming Projects (2025-26):
- KHB Green Valley, Bangalore North: Apartment complex in the planning stage, expected to launch in Q2 2025.(Housiey)
- KHB Lakeview Residency, Mysuru: Plots and villas in the approval stage, expected to launch in Q3 2025.(Housiey)
- KHB Tech Town, Mangaluru: Affordable housing under design, expected to launch in Q4 2025.(Housiey)
- KHB Serenity Enclave, Hubballi: Row houses in the survey stage, expected to launch in Q1 2026. (Housiey)
4. Affordable Housing Policy 2025
Karnataka is set to launch its Affordable Housing Policy 2025, aligning with the central government’s Pradhan Mantri Awas Yojana (PMAY) 2.0. The policy aims to address financial challenges in housing projects and promote affordable housing development through various measures.(The secretariat)
Key Highlights:
- Financial Gap: The CM’s One Lakh Housing Scheme faces a predicted gap of ₹3,700 crore due to high per-unit costs.(The secretariat)
- Private Sector Involvement: The policy encourages private companies to participate by offering incentives like reduced stamp duty and registration fees.(The secretariat)
- Affordable Housing Zones (AHZs): Proposed on government-owned properties to streamline approval procedures and provide incentives for affordable housing development. (The secretariat)
Application Process for Housing Schemes
Interested applicants can follow these general steps to apply for the housing schemes:
- Visit Official Portals:
- Ashraya Portal: ashraya.karnataka.gov.in
- Karnataka Housing Board: khb.karnataka.gov.in(MagicBricks, khb.karnataka.gov.in)
- Choose the Relevant Scheme:
- Select the housing scheme that aligns with your eligibility and requirements.
- Fill in the Application Form:
- Provide accurate personal and income details.
- Upload Required Documents:
- Aadhaar Card
- Income Certificate
- Residence Proof
- Caste Certificate (if applicable)
- Land Ownership Documents (if applicable)(Basic Home Loan)
- Submit the Application:
- Review all details and submit the application online.
- Track Application Status:
- Use the portal to monitor the status of your application and receive updates.
Conclusion
Karnataka’s housing initiatives in 2025 demonstrate a comprehensive approach to addressing the housing needs of its diverse population. By offering a range of schemes tailored to various income groups and promoting private sector participation, the state aims to ensure that every resident has access to affordable and quality housing. Prospective beneficiaries are encouraged to stay informed about these schemes and take timely action to avail themselves of the benefits.