← Affordable housing resources

AMI Income Limits Explained: How Affordable Housing Eligibility Works

Area Median Income (AMI) is the midpoint of a region's household income, published every year by the U.S. Department of Housing and Urban Development (HUD). Affordable housing eligibility is set as a percentage of AMI — most commonly 30%, 50%, 60%, or 80% — and limits vary by county and household size. As a rule of thumb, an affordable rent is capped at about 30% of the income limit for that tier.

How AMI is set

HUD calculates AMI each year for every metropolitan area and county, then adjusts it for household size — a limit for a family of four is higher than for a single person. Because incomes differ by region, the same percentage of AMI translates to very different dollar amounts in, say, San Francisco versus Fresno.

Common AMI tiers

  • Extremely low income — at or below 30% of AMI.
  • Very low income — at or below 50% of AMI.
  • Low income — at or below 60–80% of AMI. (LIHTC affordable units are commonly capped at 60% AMI.)

How AMI sets your rent

Affordable rents are tied to the income limit, not the market. A unit restricted at 50% AMI charges a rent designed to be affordable to a household earning 50% of AMI — roughly 30% of that income. That is why an income-restricted apartment can cost far less than the market rate next door.

To find the limits where you live, use our income-eligibility calculator or browse affordable listings filtered by AMI tier.

Frequently asked questions

What does AMI mean?

AMI stands for Area Median Income — the midpoint of household incomes in a region, published annually by HUD and used to set affordable housing eligibility.

What is 60% AMI?

60% AMI means 60% of the Area Median Income for your county and household size. It is a common income ceiling for LIHTC affordable apartments.

How is affordable rent calculated?

Affordable rent is typically set at about 30% of the AMI income limit for the unit's tier, so housing costs stay proportional to income rather than the market rate.

More affordable housing guides

AMI Income Limits Explained — Affordable Housing Eligibility