If you’ve listened to any discussion about affordable housing, invariably you’ve heard the phrase “80% of AMI” (Area Median Income). Rarely does anyone take time to explain how that actually translates to cost. The basic premise is that a household should only spend 30% of their income on housing. By capping the rent or home cost, people in those income brackets should be able to afford the rent or mortgage.
Example: A one bedroom apartment capped at 80% AMI means a single individual can make up to $64,250. 30% of that is $19,275. That breaks down to $1,606.25 a month rent. For a 2 bedroom apartment and a family of 3 that increases to $82,600 or $2,065 a month.
As the cap is increased, the question becomes where is market rate and should government be subsidizing the development? If an average market rate 1 bedroom apartment is $1800-$2000 a month, why would the city subsidize 120% AMI which comes out to $2,409 a month? Could market rates outstrip AMI in the future? Debatable.
| Household Size | 30% AMI | 50% AMI | 80% AMI | 120% AMI | 140% AMI |
|---|---|---|---|---|---|
| 1 | $24,100 | $40,150 | $64,250 | $96,360 | $112,420 |
| 2 | $27,550 | $45,850 | $73,400 | $110,040 | $128,380 |
| 3 | $31,000 | $51,600 | $82,600 | $123,840 | $144,480 |
| 4 | $34,400 | $57,350 | $91,750 | $137,640 | $160,580 |
Maximum rent Hillsborough County, per Florida Housing Finance Corp Multifamily Rental Programs schedule
| Apartment Size | 30% AMI | 50% AMI | 80% AMI | 120% AMI | 140% AMI |
|---|---|---|---|---|---|
| Studio | $602 | $1,003 | $1,606 | $2,409 | $2,810 |
| 1 BR | $645 | $1,075 | $1,720 | $2,580 | $3,010 |
| 2 BR | $774 | $1,290 | $2,064 | $3,096 | $3,612 |
| 3 BR | $894 | $1,491 | $2,386 | $3,579 | $4,175 |
| 4 BR | $998 | $1,663 | $2,662 | $3,993 | $4,658 |
| 5 BR | $1,101 | $1,835 | $2,937 | $4,405 | $5,139 |
Reference links:
- HUD FY2026 income limits, Tampa MSA
- Florida Housing income limits hub
- The 30% affordability rule – What is affordable housing? From National League of Cities
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