Tamil Nadu allocated ₹3,500 crore to construct 70,000 rural houses during 2026–27 under the first phase of the Vetri Veedu Scheme.
Each eligible family will receive ₹5 lakh to construct a 360–500 sq. ft. permanent concrete house with Reinforced Cement Concrete (RCC) roofing.
The assistance will be paid in four instalments based on construction progress, with an additional ₹12,000 for toilet construction.
Families with an annual income above ₹2.5 lakh and those who have already received government housing benefits are not eligible.
40% of the allocation is reserved for Scheduled Castes (SC) and Scheduled Tribes (ST); widows, destitute women, transgender persons and ex-servicemen receive priority.
Beneficiaries can obtain bank loans up to ₹1 lakh with a 3% interest subsidy for regular repayment, subject to scheme conditions.