RentReady

Are you eligible for HUD-assisted housing?

Eligibility for project-based Section 8 and other HUD programs comes down to three things: who's in your household, where you live, and how much money everyone in the household earns. Here's how it actually works.

The three income tiers

Every year HUD publishes income limits for each metropolitan area and rural county in the country. Limits are expressed as a percentage of the Area Median Income (AMI) for your specific location, and adjusted for household size:

  • Extremely Low Income — at or below 30% of AMI (or the federal poverty level, whichever is greater). This is the priority tier for most project-based Section 8 buildings.
  • Very Low Income — at or below 50% of AMI. The default ceiling for Housing Choice Vouchers and most PBRA admissions.
  • Low Income — at or below 80% of AMI. Used for some specific programs and over-income recertifications.

For project-based Section 8, at least 40% of new admissions each year must come from the extremely-low-income tier. If your household income is at or below 30% AMI for your area, you'll generally rise on waiting lists faster.

What counts as income?

HUD's definition of "annual income" is broad. It includes:

  • Wages, salaries, tips, and self-employment net income.
  • Social Security, SSI, SSDI, veteran's benefits, and unemployment.
  • Pension and retirement payments.
  • Interest, dividends, and rental income from real property.
  • Regular contributions or gifts from people outside the household.
  • Periodic payments from insurance policies and trusts.
  • Imputed income from assets above $50,000 (HUD assumes a return on the asset value).

It does not include:

  • Income earned by a child under 18.
  • Foster-care payments and adoption assistance.
  • Lump-sum inheritances, capital-gains proceeds, and insurance settlements (those are treated as assets).
  • Earned Income Tax Credit refunds.
  • Educational scholarships and Title IV student-aid grants used for tuition.
  • Income of a live-in aide.

How to estimate your eligibility

  1. Add up the gross annual income of every adult household member who will live in the unit. (Include the income of children only if they're 18 or older and not a full-time student.)
  2. Look up the income limits for your county or metro at huduser.gov/portal/datasets/il.html. Use the row for your household size and the column for "50% AMI" (the standard PBRA ceiling) or "30% AMI" (the priority tier).
  3. Compare. If your household total is at or under the 50% AMI line for your size, you're income-eligible to apply. If you're at or under the 30% line, you'll typically be prioritized.
Income limits change every spring (usually April). When in doubt, check the HUD User website for your specific county before you apply.

Citizenship and other eligibility rules

  • Citizenship. At least one member of the household must be a U.S. citizen or have eligible immigration status. Mixed-status households can still qualify, but the subsidy is prorated.
  • Social Security numbers. All household members 6 or older must disclose and verify a Social Security number, with limited exceptions.
  • Criminal history. Owners apply HUD's mandatory bans (sex-offender registration, meth production in federally assisted housing) plus their own discretionary look-back period for other offenses.
  • Past evictions. A prior eviction from federally assisted housing for drug-related activity within the past 3 years is an automatic disqualifier.
  • Outstanding balances. Most owners will reject applicants who owe money to another federally assisted property until the balance is repaid.

Special category eligibility

Section 202 (elderly)

You must be 62 or older at the time of admission. Income generally must be at or below 50% AMI. Spouses can be younger, but the head of household must meet the age requirement.

Section 811 (disability)

You must be 18 or older with a documented disability under HUD's definition (a physical, mental, or emotional impairment that substantially limits one or more major life activities and is expected to be of long-continued and indefinite duration).

RAD-converted properties

Existing public housing residents have an automatic right of return. New applicants are subject to standard project-based Section 8 admissions criteria.

What about preferences?

Many properties give an admission preference to certain applicants — for example, families currently homeless, victims of domestic violence, working families, or applicants who already live or work in the county. Preferences move you up the list ahead of the general queue. Each property's tenant selection plan must disclose its preferences in writing; ask the management office for theirs when you apply.

Next steps

If you appear to qualify, walk through the application checklist and start contacting properties on your state's directory page. If you're a couple of thousand dollars over the limit, also look into the Housing Choice Voucher program through your local PHA — the income limits are the same but waiting list strategies differ.