15 November 2026
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From Homes to Homestays: Uttarakhand Scheme Offers Financial Support to Local Residents

Uttarakhand’s Deen Dayal Upadhyaya Homestay Scheme offers financial support to eligible local residents developing homestays, with capital subsidy provisions of up to ₹15 lakh in hill areas.
Indian Masterminds Stories

Dehradun: Residents of Uttarakhand looking to convert their homes into tourist accommodation can seek financial assistance under the state government’s Deen Dayal Upadhyaya Grah Aawas (Homestay) Vikas Yojana.

The scheme, administered by the Uttarakhand Tourism Department, is aimed at promoting homestays in rural and tourist areas while creating self-employment and additional income opportunities for local residents.

Who Can Apply for the Homestay Scheme?

The scheme is intended for permanent/original residents of Uttarakhand who own a building in eligible areas and reside there with their family.

The current eligibility provisions exclude areas falling under municipal corporations and municipalities from the scheme. The government has also moved to ensure that benefits are restricted to Uttarakhand residents and family-managed homestays.

Read Also: Uttarakhand CM Dhami Orders Ground-Level Resolution of CM Helpline 1905 Complaints

Key eligibility conditions include:

  • Applicant must be a permanent/original resident of Uttarakhand.
  • The applicant should own the building proposed to be used as a homestay.
  • The property should be in an eligible non-municipal area.
  • The homestay is required to be managed by the applicant’s family, with at least one family member residing at the property under the updated provisions.

Up to ₹15 Lakh Capital Subsidy in Hill Areas

The current provisions provide a capital subsidy of up to 50% of eligible project cost, subject to a maximum of ₹15 lakh, for eligible projects in hill areas. Beneficiaries can also receive an interest grant of up to ₹1.50 lakh during the first five years.

The Uttarakhand government’s district tourism information also records separate subsidy provisions based on whether the project falls in a hill or plain area.

The assistance is intended for developing or upgrading accommodation facilities for use as registered homestays.

What Does the Scheme Support?

The homestay programme is designed to support the development of accommodation at popular as well as remote tourist destinations.

The government identifies objectives including:

  • Increasing quality accommodation facilities in tourist areas
  • Creating self-employment opportunities for local residents
  • Providing an additional source of income to homeowners
  • Encouraging tourism in remote destinations
  • Promoting local culture and hospitality

How to Apply

Applicants can use the Uttarakhand Tourism Department’s homestay system to register their property and apply under the applicable homestay scheme.

The Uttarakhand Tourism website provides an online route for applications under the Pt. Deen Dayal Homestay Scheme, while the government’s homestay portal also provides registration facilities for government-approved homestays.

Applicants should keep the required ownership, residence and property-related documents ready and follow the eligibility and registration requirements prescribed by the Tourism Department.

Homestay Registration Is Mandatory

The state’s homestay portal states that buildings operating under the homestay scheme must be registered, with the applicable rules governing the number of rooms and other requirements.

The scheme therefore combines financial assistance with formal registration of eligible properties as homestays.

For applicants considering the scheme, the latest eligibility conditions and subsidy limits should be checked on the Uttarakhand Tourism Department portal before submitting an application, as the scheme’s provisions have been revised over time.

Read Also: Uttarakhand Completes 63 Parking Projects, Adds Space for Over 4,200 Vehicles Across Hill Districts


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