Income Limit & Rent Calculator

This calculator returns HUD income limits and the corresponding maximum rents for a LIHTC property. The wizard walks you through location, project configuration, and bedroom mix.

1. Find the property’s location by browsing or searching to retrieve HUD income limit data for the area.
2. Configure the project — placed-in-service date, rent floor election, set-aside type, and bedroom mix.
3. Review the income limits and maximum gross / net rents that the calculator returns.

• Location Selection — Browse by county, town, or HMFA the way HUD's MTSP system does, or search by place name, to retrieve HUD income limit data for the area.
• Project Configuration — Enter the placed-in-service date, rent floor election, set-aside type, and bedroom configuration.
• Income Limits — View income limits for household sizes 1–12 at each selected AMI tier.
• Maximum Rents — See calculated maximum gross and net rents for each bedroom type, accounting for utility allowances.

• Income limits and rents cannot decrease from the levels in effect when the property was placed in service.
• If current-year limits are lower than a prior year’s limits, the higher prior-year limits apply.

• The rent floor locks in the income limits from the election year as the minimum for rent calculations.
• If current-year limits are higher, the current-year limits apply. If lower, the rent floor limits apply.

• HERA Special — Some areas have HERA (Housing and Economic Recovery Act) Special income limits that may be higher than standard limits.
• NNMIL — National Non-Metropolitan Income Limits may be higher than local limits for non-metro areas.

• Uses HUD’s 1.5 persons per bedroom standard for imputed household size.
• Maximum gross rent = imputed income limit ÷ 12 × 30%.
• Maximum tenant-paid rent = gross rent − utility allowance.
• The Next Available Unit Rule (NAUR) threshold is 140% of the applicable AMI tier limit.

Below the rent table, enter what a unit actually charges to see whether its gross rent is within the maximum for its size and AMI designation. Add units one at a time or paste rows from a rent roll.

• Gross rent = tenant-paid rent + utility allowance + mandatory fees (IRC §42(g)(2)(B)).
• Utility allowance — defaults to the amount entered for that bedroom size. Record its source; the acceptable sources are set out in Treas. Reg. §1.42-10.
• Mandatory fees — charges a tenant cannot decline, such as a required amenity, administrative or owner-billed insurance fee. Optional services and fees for supportive services are not part of gross rent.
• Rental assistance — Section 8 and comparable assistance payments, including RD Rental Assistance, are excluded from gross rent (IRC §42(g)(2)(B)(i)). Only the tenant-paid share is tested, so a contract rent above the LIHTC maximum is not a violation by itself.
• If an assisted tenant’s own share is over the maximum because the household’s income has risen, IRC §42(g)(2)(E) may still treat the unit as rent-restricted. Review that case with your state agency.

The IRS 8823 Guide (Chapter 11, gross rent) describes how agencies review fees and utility allowances. Confirm agency-specific rules before relying on a result.