HUD Income Limits

The HOME Income Limits are calculated using the same methodology that HUD uses for calculating the income limits for the Section 8 program, in accordance with Section 3(b)(2) of the U.S. Housing Act of 1937, as amended. These limits are based on HUD estimates of median family income, with adjustments based on family size. Please note that the 30 percent income limits for the HOME program have been calculated based on the definition of Extremely Low–Income Family (ELI) as described in Consolidated Submission for CPD Programs section of 24 CFR part 91.5. Therefore, the ELI Limit is calculated as 30 percent of median family income for the area and may not be the same as the Section 8 ELI Limit for your jurisdiction.

Family sizes in excess of 8 persons are calculated by adding 8% of the four-person income limit for each additional family member. That is, a 9-person limit should be 140% of the 4-person limit, the 10-person limit should be 148%.

The HOME income limit values for large households (9-12 persons) must be rounded to the nearest $50. Therefore, all values from 1 to 24 are rounded down to 0, and all values from 25 to 49 are rounded up to 50.

Note: The FY 2022 HOME Income Limits effective date is June 1, 2022.

2022 ADJUSTED HOME INCOME LIMITS
Muncie, IN MSA  1 PERSON 2 PERSON 3 PERSON 4 PERSON 5 PERSON 6 PERSON 7 PERSON 8 PERSON
30% EXTR. LOW INCOME $ 15,650 $ 17,900 $ 20,150 $ 22,350 $ 24,150 $ 25,950 $ 27,750 $ 29,550
50% VERY LOW INCOME $ 26,100  $ 29,800 $ 33,550 $ 37,250 $ 40,250 $ 43,250 $ 46,200 $ 49,200
60% LOW INCOME $ 31,320 $ 35,760 $ 40,260 $ 44,700 $ 48,300 $ 51,900 $ 55,440 $ 59,040
80% LOW INCOME $ 41,750 $ 47,700 $ 53,650 $ 59,600 $ 64,400 $ 69,150 $ 73,950 $ 78,700

HUD Rent Limits

Per 24 CFR Part 92.252, HUD provides the following maximum HOME rent limits. The maximum HOME rents are the lesser of:

  1. The fair market rent for existing housing for comparable units in the area as established by HUD under 24 CFR 888.111; or
     
  2. A rent that does not exceed 30 percent of the adjusted income of a family whose annual income equals 65 percent of the median income for the area, as determined by HUD, with adjustments for number of bedrooms in the unit. The HOME rent limits provided by HUD will include average occupancy per unit and adjusted income assumptions.

In rental projects with five or more HOME-assisted rental units, twenty (20) percent of the HOME-assisted units must be occupied by very low-income families and meet one of following rent requirements:

  1. The rent does not exceed 30 percent of the annual income of a family whose income equals 50 percent of the median income for the area, as determined by HUD, with adjustments for smaller and larger families. HUD provides the HOME rent limits which include average occupancy per unit and adjusted income assumptions. However, if the rent determined under this paragraph is higher than the applicable rent under 24 CFR 92.252(a), then the maximum rent for units under this paragraph is that calculated under 24 CFR 92.252(a).
     
  2. The rent does not exceed 30 percent of the family's adjusted income. If the unit receives Federal or State project-based rental subsidy and the very low-income family pays as a contribution toward rent not more than 30 percent of the family's adjusted income, then the maximum rent (i.e., tenant contribution plus project-based rental subsidy) is the rent allowable under the Federal or State project-based rental subsidy program.

Fair Market Rents are established by HUD each year for the Section 8 Program. For more information about the annual calculation of Fair Market Rents, visit HUDUSER.ORG, the website for HUD's Office of Policy Development and Research.

The FMRs for unit sizes larger than 4 bedroom are calculated by adding 15 percent to the 4 bedroom FMR for each extra bedroom. For example, the FMR for a 5 bedroom unit is 1.15 times the 4 bedroom FMR, and the FMR for a 6 bedroom unit is 1.30 times the 4 bedroom FMR, and so on...

5 BR = 1.15 x 4 BR FMR
6 BR = 1.30 x 4 BR FMR
7 BR = 1.45 x 4 BR FMR
8 BR = 1.60 x 4 BR FMR
9 BR = 1.75 x 4 BR FMR
10 BR = 1.90 x 4 BR FMR
11 BR = 2.05 x 4 BR FMR
12 BR = 2.20 x 4 BR FMR

Note: The FY 2022 HOME Rent Limits effective date is June 1, 2022.

2022 HOME Rent Limits Bedrooms
Muncie, IN MSA 0 1 2 3 4 5 6
Program
Low HOME Rent Limit $ 565 $ 598 $ 756 $ 968 $ 1,081 $ 1,192 $ 1,303
High HOME Rent Limit $ 565 $ 598 $ 756 $ 1,016 $ 1,094 $ 1,258 $ 1,422
For Information Only
Fair Market Rent $ 565 $ 598 $ 756 $ 1,016 $ 1,094 $ 1,258 $ 1,422
50% Rent Limit $ 652 $ 698 $ 838 $ 968 $ 1,081 $ 1,192 $ 1,303
65% Rent Limit $ 829 $ 889 $ 1,069 $ 1,226

$ 1,349

 $ 1,469 $ 1,590

Note: For any and all utilities the tenant is responsible to pay, the rent limit is this published amount minus the applicable utility allowance.