What income limits determine eligibility for affordable housing in California in 2025?
This fact-check may be outdated. Consider refreshing it to get the most current information.
Executive summary
California’s 2025 affordable-housing eligibility is tied to federal and state income limits that are set as percentages of Area Median Income (AMI): programs commonly use Extremely Low (≤30% AMI), Very Low (≤50% AMI), Low (≤80% AMI) and occasionally Middle/Moderate categories (e.g., up to 110% AMI) depending on the program and county; HUD and HCD publish county-by-county tables effective June 1, 2025 for HUD limits and HCD issues state-adjusted tables for 2025 (e.g., LA County 4-person AMI $106,600) [1] [2] [3] [4].
1. How income limits are set and which numbers matter
Federal HUD income limits start from local Area Median Income (AMI) calculations and are published as standard cutoffs — typically Extremely Low (about 30% AMI or the poverty floor), Very Low (50% AMI), and Low (80% AMI) — and HUD’s FY2025 tables (HOME/Section 8 methodology) became effective June 1, 2025 [5] [3]. The California Department of Housing and Community Development (HCD) adopts and adjusts HUD’s figures for state programs and also publishes county-level 2025 tables that jurisdictions and developers use to determine eligibility and maximum rents [4] [6].
2. What “income bands” mean for applicants in 2025
An applicant’s gross household income (before taxes) is compared to the appropriate AMI-derived threshold for their household size in that county. “Extremely low” is generally not more than 30% of AMI (with statutory adjustments such as using the poverty guideline when higher), “Very low” ≈50% of AMI, and “Low” ≈80% of AMI; some programs and local authorities also use additional bands such as “Acutely low” (≤15% AMI) or “Moderate/Middle” incomes up to 110% AMI for program-specific rules [2] [5] [4].
3. County variation matters — examples and consequences
Income cutoffs differ dramatically by county because AMI differs. For example, HCD’s 2025 county tables and reporting show Los Angeles County’s 4-person AMI at $106,600 for 2025, and HUD’s state HOME/Section 8 tables list specific dollar limits per household size and percent-of-AMI category effective June 1, 2025 [1] [3]. That means a household that qualifies as “low” in one county may exceed the same percentage cutoff in a higher-AMI county; eligibility is location-specific [4].
4. How household size is handled
HUD and HCD adjust income limits by household size. Standard tables present limits for one- to eight-person households; for sizes above eight, HUD’s methodology adds 8% of the four-person limit for each extra person [5] [2]. Local program managers will apply the household-size-adjusted dollar limit from HUD/HCD tables to determine eligibility [2] [5].
5. Program differences and exceptions you should expect
Not every affordable program uses the exact same banding. State statutory definitions and program rules (for tax-credit projects, HOME, Section 8 vouchers, local deed-restricted developments) may differ in which bands they serve, how rent is calculated, and whether some bands are prioritized (e.g., voucher targeting rules requiring a share of admissions be Extremely Low Income) [4] [7] [5]. HCD also enforces a “Hold Harmless” policy that avoids reducing AMI or household income category levels year-to-year for state-linked programs, which can affect eligibility when AMI falls locally [8].
6. Practical takeaways for applicants and developers
If you’re applying: check the county-specific HCD or local housing authority table for 2025 and compare your gross household income to the correct column for your household size and the program’s percent-of-AMI band before applying [4] [3]. If you’re a developer or policymaker: expect program-specific tweaks (rent caps tied to AMI, differing definitions of affordable cost at 30% of income, and local adjustments) and be aware that state policy changes (e.g., AB 846 rent-cap implications noted for LIHTC properties) interact with AMI-based limits [4] [9].
Limitations and what sources do not say
Available sources provide HUD and HCD methodologies, county examples (Los Angeles), and effective dates for FY2025/HOME tables, but the search results do not provide a single statewide table in-text in these snippets listing every county-by-household-size dollar limit for 2025; readers should consult HCD’s official county PDF and HUD’s FY2025 HOME/Section 8 documents for the precise dollar figures applicable to their county and household size [3] [4] [5].