Area Median Income is the midpoint household income for a specific geographic area. HUD uses AMI to determine eligibility for Section 8 and other housing programs.
Area Median Income (AMI) is the midpoint of household income for a defined geographic area — meaning half of households earn more and half earn less. HUD calculates AMI annually for every metropolitan statistical area (MSA) and non-metropolitan county, adjusted for household size. AMI serves as the benchmark for eligibility in virtually all federal housing assistance programs.
HUD uses AMI to define income categories that determine program eligibility: Extremely Low Income (0-30% AMI), Very Low Income (31-50% AMI), Low Income (51-80% AMI), and Moderate Income (81-120% AMI, used primarily in HOME and LIHTC programs). For Section 8 vouchers, the primary eligibility cutoff is 50% AMI (Very Low Income), with 75% of new admissions reserved for families at or below 30% AMI.
AMI varies dramatically across the country, reflecting differences in local economies. In 2024, the AMI for a family of four ranges from approximately $40,000 in some rural areas to over $150,000 in high-cost metros like San Francisco or the New York City area. This geographic variation means that a family considered "low income" in one area might not qualify in another.
Understanding AMI is important for tenants assessing their eligibility, landlords evaluating the income profile of potential Section 8 tenants, and investors analyzing rental markets. AMI data also helps contextualize FMR rates — areas with higher AMI tend to have higher FMRs. Compare FMR data across areas at FMR8.com.
Area Median Income (AMI) is the midpoint household income for a metropolitan area or county, calculated annually by HUD. It is used to determine eligibility for Section 8 and other housing programs, with income limits set as percentages of AMI (e.g., 30%, 50%, 80%).
Section 8 applicants must generally earn below 50% of AMI (Very Low Income). By law, 75% of new voucher admissions must be extremely low income (at or below 30% AMI). AMI varies by location and household size, so eligibility thresholds differ across the country.
Look up current Section 8 Fair Market Rent rates by ZIP code, city, or state.