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A new kitchen at the Harlem River Houses, 1937

What Is Area Median Income (AMI)? A Housing Help Guide

By KPCB StaffCombined Expertise In The Low Income Housing Space For 10 Years · How we write our guides

Area Median Income (AMI) is the middle family income for your metro area or county. HUD figures it every year. Housing programs use a percentage of it, such as 30%, 50%, 60% or 80%, adjusted for how many people live in your home, to decide who can apply.

Your limit depends on where you want to live and how big your household is. There is no single national limit, and only the housing authority or the property decides if you qualify.

What AMI means

HUD calls this number the median family income, or MFI, and says users and other federal programs often call it area median income, or AMI. On housing applications, the two terms mean the same thing.

HUD calculates a median family income for every metropolitan area and every nonmetropolitan county. Some metro areas are split into parts, and each part gets its own number. The MFI is based on a four-person household.

Median means the middle: half of families in the area earn more and half earn less.

How HUD turns AMI into income limits

HUD builds its income limits from median family income estimates and the same area boundaries it uses for Fair Market Rents.

It starts with the 50% limit

HUD uses the very low-income limit as the base for the other limits. It starts at 50% of AMI for a four-person family, and then HUD adjusts it:

  • Raised in areas where rents are unusually high compared with income
  • Lowered in areas with unusually high incomes
  • Raised if it falls below 50% of the state's nonmetropolitan median
  • Kept from dropping below 95% of last year's limit, and kept under a yearly cap

For FY 2026, the 10% cap on yearly increases applies. HUD's methodology says twice the national change in median family income from 2023 to 2024 was about 10.09%, which is above the cap.

In FY 2026, 375 of 675 metro areas and 667 of 1,960 nonmetro counties had very low-income limits based on 50% of their own local median. Many others (120 metro areas and 1,114 nonmetro counties) were based on the state nonmetro median instead.

The four-person low-income (80%) limit is also capped. For FY 2026, HUD's methodology caps it at the U.S. median of $107,900.

HUD rounds income limits up to the nearest $50.

When new limits start

LimitsFY 2026 effective date
HUD Section 8 income limitsMay 1, 2026
Multifamily Tax Subsidy Project (LIHTC) limitsMay 1, 2026
HUD 30% limits used for Emergency Solutions GrantsJune 1, 2026
HOME Program income limitsJune 1, 2026

The three income levels you'll see

These levels come from Section 3 of the U.S. Housing Act of 1937.

LevelWhat it means
Low incomeAt or below 80% of AMI
Very low incomeAt or below 50% of AMI
Extremely low incomeVery low income, and at or below 30% of AMI or the federal poverty guideline, whichever is higher. A limit based on the poverty guideline can't go above the very low-income limit.

HUD's public housing page uses the term "lower income" for the 80% level.

How household size changes your limit

The base limit is for four people. HUD raises or lowers it for other household sizes.

People in householdShare of the 4-person limit
170%
280%
390%
4100% (base)
5108%
6116%
7124%
8132%
9140%

Add 8% for each person over eight. These adjustments don't apply to extremely low-income limits that are set at the poverty guideline.

Example: Columbus, Ohio, FY 2026

This example covers one area only and is not a national limit. These are HUD's FY 2026 Section 8 limits for the Columbus, OH HUD Metro FMR Area (HMFA), effective May 1, 2026. The median family income there is $111,500.

PeopleExtremely lowVery low (50%)Low (80%)
1$23,450$39,050$62,450
2$26,800$44,600$71,400
3$30,150$50,200$80,300
4$33,450$55,750$89,200
5$38,680$60,250$96,350
6$44,360$64,700$103,500
7$50,040$69,150$110,650
8$55,720$73,600$117,750

A family of three in that area with a yearly income of $48,000 would be under the very low-income limit of $50,200. A housing authority would still check everything else before deciding.

To see your own area, use HUD's FY 2026 income limits lookup. HUD says the official limits are the PDF and Excel files on its income limits page, and those can differ slightly from the lookup tool.

How AMI sets limits for each program

HUD's income limits apply to public housing, project-based Section 8, Housing Choice Vouchers, Section 202 housing for older adults and Section 811 housing for people with disabilities.

Section 8 Housing Choice Vouchers

HUD's rules for the voucher program say a family must generally be very low income (50% of AMI). A low-income family (up to 80% of AMI) can qualify only in a few situations. One is when the family is already continuously assisted under public housing or another program under the 1937 Housing Act. Another is when it meets extra criteria the housing authority sets in its own plan.

By law, at least 75% of the families a housing authority first gives vouchers to in a fiscal year must be extremely low income, so being under 50% does not mean you'll be served quickly. For more, see our guide to Section 8 income eligibility.

Public housing

HUD sets the lower-income limit at 80% and the very low-income limit at 50% of the median income for the county or metro area where you choose to live. By law, at least 40% of the public housing units an agency makes available each fiscal year must go to extremely low-income families.

Our guide to public housing vs. Section 8 explains how the two programs differ.

Project-based Section 8

In buildings with project-based Section 8, at least 40% of the units that become available each fiscal year must go only to extremely low-income families.

Low-Income Housing Tax Credit (LIHTC) apartments

The IRS runs LIHTC, not HUD. Under an IRS ruling, though, these properties base rents on limits HUD publishes, called Multifamily Tax Subsidy Project (MTSP) income limits. These are separate from the Section 8 limits, and HUD says LIHTC projects should use the MTSP limits.

The property picks one of these tests:

  • The 20-50 test: at least 20% of units go to households at or below the 50% limit for their size.
  • The 40-60 test: at least 40% of units go to households at or below the 60% limit.
  • Income averaging, added in 2018. HUD publishes limits for it at 20%, 30%, 40%, 50%, 60%, 70% and 80%.

HUD notes that owners don't have to raise rents when the limits are updated. Read our guide to Low-Income Housing Tax Credit apartments to learn how to apply.

HOME Investment Partnerships

HOME is a HUD program that funds affordable housing through states and local governments. HOME income limits use the same method as Section 8 limits. HUD's list of programs says HOME uses "60 percent of median" and "65 percent of median" for targeting and qualifying, both tied to Section 8 limits.

Under HOME rules, low-income households earn at or below 80% of AMI, adjusted for family size. HUD can set higher or lower limits based on building costs, Fair Market Rents, or unusually high or low incomes. See HUD Exchange's CPD income and rent limits.

How to find the limit for your area

  1. Decide which program you're applying for. Section 8, public housing, Section 202 and Section 811 use the Section 8 limits. Tax credit apartments use MTSP limits. HOME-funded housing uses HOME limits.
  2. Go to the right HUD page: the Section 8 income limits page, the MTSP page or the HOME limits page.
  3. Choose FY 2026 and find your state and the county or metro area where you want to live.
  4. Find the row for your household size and the percentage the program uses.
  5. Compare it with your household's total yearly income before taxes.
  6. Call the housing authority or property to confirm. HUD says the housing authority can tell you the limits for your area and family size.

You can also use our benefit finder to see which programs may fit your situation. When you're ready, our guide to PHA pre-applications explains how to get on a waiting list.

What counts and who decides

For public housing, HUD says the housing authority decides eligibility based on:

  • Your annual gross income
  • Whether you qualify as elderly, a person with a disability, or a family
  • U.S. citizenship or eligible immigration status

Limits vary by area, so you may be eligible at one housing authority but not at another.

HUD's rules count most of the money each adult in the household receives, plus money received for children under 18 other than their own earnings. Some money doesn't count at all, such as a child's job income, foster care payments and money paid back to you for medical bills. HUD also allows set deductions, including an amount for each dependent, an amount for older or disabled households, and some child care and medical costs. Your housing authority applies these rules, so ask it what counts for your household.

Only the agency or property decides if you qualify. Being under a limit means you can apply, but it does not guarantee help.

Common problems

  • Using an old table. Limits change each year. FY 2026 Section 8 limits started May 1, 2026.
  • Using Section 8 limits for a tax credit apartment. LIHTC properties use MTSP limits.
  • Looking up the wrong area. HUD sets limits for parts of some metro areas, so a county next to a big city may have a different limit.
  • Mixing up MFI and AMI. They mean the same thing.
  • Paying someone to join a list. HUD's Office of Inspector General warns that housing authorities and government agencies will never ask you to pay for admission to housing assistance programs or to join a waitlist. To check whether a list is open, call your local housing authority at the number on its official website.

If you're denied and think it's wrong, ask the housing authority about its review process. You can also look for free legal aid at lawhelp.org.

Frequently asked questions

Is AMI the same as median family income?

Yes. HUD calls it median family income (MFI) and says many users and other federal programs call it area median income (AMI).

Why is my county's limit different from the next county?

HUD sets limits for each metro area, parts of some metro areas, and each nonmetro county. Incomes and rents differ from place to place, and HUD adjusts for high housing costs and other factors.

Does AMI change every year?

Yes. HUD publishes new limits each fiscal year. For FY 2026, increases were capped at 10%, and limits generally can't drop below 95% of last year's.

If I'm under 80% of AMI, will I get a voucher?

Not necessarily. Vouchers generally go to families at or below 50% of AMI, and by law at least 75% of new vouchers each year go to extremely low-income families. Low-income families may qualify only in certain cases.

Do I have to pay to get on a waitlist?

No. HUD's Inspector General says housing authorities and government agencies will never ask you to pay to join a waitlist or for admission to housing assistance.

What does 60% AMI mean?

It is a limit used mostly by tax credit (LIHTC) apartments under the 40-60 test. HUD publishes it in the MTSP tables for each area. HOME also uses a 60% level.

Sources

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