Examining Increases in HUD Income Limits in Low-Income States

Eligibility for assistance by the U.S. Department of Housing and Urban Development (HUD) programs is generally determined by the household’s income. The relevant program administrator compares each family’s income to the applicable “income limit” for the program and the area of the country. HUD calculates various levels of income limits. Statute defines these levels as specific percentages of an area’s median family income. However, HUD can also adjust income limits for specific areas above or below the actual percentage of area median family income specified by the limit.