Are there income restrictions?

Government Option 1A and 1B (FHA & VA) : QUALIFYING income must not exceed Program Government Limits. Click the links at the bottom of the page to see the income limits.

Government Option 2: HOUSEHOLD income must not exceed program limits

    • Household Income means the combined gross annual income of borrower(s) and any person or persons who intend to occupy the home as a principal residence. The income of all household members who are 18 years of age or older (exceptions may apply for full-time dependent students) – must be included in the total annual income calculation, whether or not they will execute the promissory note. If married, the gross annual income of the spouse must also be included even if the spouse is not going to occupy the property or execute the promissory note. Temporary, nonrecurring, or sporadic income should not be counted.  Please refer to HUD’s income calculation information at 24 CFR 5.609 (b)(1).

Rural Development Loans – Income is based on Adjusted Household Income per Rural Development’s Guidelines. Income limits can be found at the following link:

*Please be advised there are separate income limits for Option 1, Qualifying Income and Option 2, Household Income.

Lenders will be responsible for ensuring that the income meets program guidelines.

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