USDA Rural Development Releases 2026 Income Limits for Section 515 Properties
Effective date: July 13, 2026
The U.S. Department of Agriculture’s Rural Development Service has announced the income limits for its Fiscal Year 2026 Multifamily Housing programs. The updated limits became effective on July 13, 2026, and are used for income-eligibility determinations for Rural Development Multifamily Housing properties, including those financed through the Section 515 Rural Rental Housing program.
The updated limits are published in USDA Rural Development’s nationwide income limit document, RD-MFHLimitMap.pdf. The document is organized by state, then by metropolitan area or county, with separate limits for households of 1 through 8 persons.
For each geographic area and household size, the 2026 chart outlines four income categories: very low income, low income, moderate income, and a separate moderate-income limit for the Section 538 guaranteed loan program. Section 515 owners and management agents should refer to the very-low-, low-, and moderate-income rows relevant to the property’s location and household size. The row labeled "RD 538 GUAR MOD INC" is specific to the Section 538 program and should not be used as the Section 515 moderate-income limit.
The chart shows figures for households of up to eight people. For households larger than eight, follow the instructions printed on the chart. Since limits differ by location and household size, staff should not rely on a statewide figure, a previous year's chart, or a limit used at another property.
Section 515 housing is designed to assist eligible very-low-, low-, and moderate-income households in rural communities. Income limits are used to determine if an applicant is income eligible and to classify the household’s income level. This classification can also influence applicant priority, rental assistance eligibility, and other occupancy decisions under Rural Development requirements and the property’s approved tenant selection plan.
The limits are not rental limits. At a Section 515 property, approved basic rent and note rent, the household’s adjusted income, and the availability of Rural Development Rental Assistance or other subsidies determine the tenant’s payment. This is an important distinction for properties also participating in the Low-Income Housing Tax Credit program: LIHTC income and rent restrictions must be tested separately under the tax credit rules, using the limits and requirements applicable to that program.
Owners and management agents should take the following steps immediately:
· Update the current Rural Development income-limit charts in application, certification, and compliance materials with the FY 2026 limits.
· Update property management and certification software, and confirm that the effective date is correctly entered as July 13, 2026.
· Use the limit for the property’s specific county or metropolitan area and the household’s accurate size.
· Confirm that staff is using the Section 515 very-low-, low-, or moderate-income category—not the separate Section 538 guaranteed program figure.
· Implement the new limits for eligibility determinations on or after July 13, 2026, and review any certification prepared under the previous limits that have not yet become effective.
· Retain documentation showing which limit was used, and ensure the property’s tenant selection plan, waiting-list procedures, and any layered-program worksheets stay aligned with current requirements.
The release of new limits does not remove the need for a full income determination. Management still needs to calculate expected annual income in accordance with current Rural Development rules, verify household composition, and document the eligibility decision. The limit serves as the benchmark against which verified household income is compared; it is not a replacement for the calculation and verification process itself.
Properties should start using the 2026 limits without delay and keep a copy of the relevant state and local page in their compliance resources. Centralized compliance departments should also inform site staff about the change and test software results against the USDA chart before approving new certifications.
FY 2026 Rural Development Multifamily Housing Income Limits (RD-MFHLimitMap.pdf)
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