HOMEfires - Vol. 2 No. 4, September 1999
Q: What are the HOME income, rent, per-unit subsidy and purchase price/after rehab value limits that apply to my community? Where can I find the latest limits?
A: The goal of the HOME program is to provide standard housing at an affordable cost to low income persons. To accomplish this goal, the HOME program regulations establish four types of limits: HOME Income Limits, HOME Rent Limits, HOME Per-Unit Subsidy Limits and HOME Purchase Price or After-Rehab Value Limits. These limits vary for each participating jurisdiction.
HOME Income Limits and HOME Rent Limits are prepared annually for the HOME program. New limits are generally issued in January, and are effective thirty days after the date of the transmittal memorandum. A comprehensive list of the HOME Income Limits and HOME Rent Limits can be found at the following HUD HOME program web pages:
HOME Per-Unit Subsidy Limits are based on the Section 221(d)(3) limits for elevator-type projects. The limits are determined by HUD's Office of Multi-Family Housing Programs. There is no comprehensive list of these limits. The latest limit for a particular jurisdiction must be obtained from the applicable HUD Multi-Family Housing Hub Office or Program Center. Limits for certain "base cities" can also be found on HUDs web page.
HOME Maximum Purchase Price or After-Rehab Value Limits are based on the 203(b) Single Family Mortgage Limits. Participating jurisdictions also have the option of determining their own limits in accordance with the procedures set forth in the HOME regulations at 24 CFR 92.254. Limits for certain "high cost areas" can be found through this link as well. The 203(b) limits are determined by HUD's Office of Single Family Housing. There is no comprehensive list of these limits. The latest limit for a particular jurisdiction must be obtained from the applicable HUD Single Family Homeownership Center (HOC).
Attached is a more detailed "HOME Program Limits Reference Guide" describing the various HOME requirements, how the limits are calculated and where the latest limits can be found. A "HOME Program Limits Quick Reference Guide" is also provided.
You may obtain additional information about the HOME Program from the HOME Program web page.