What Is AMI? NYC Income Limits Explained Simply

If you've ever looked at an NYC Housing Connect listing, you've probably seen terms like "60% AMI" or "80% AMI" and wondered what they mean.

AMI—Area Median Income—is the foundation of how New York City determines eligibility for affordable housing lotteries.

This guide breaks down AMI in simple terms, explains how income bands work, and shows you exactly how to figure out which AMI category you fall into.

AMI is the midpoint household income for a specific geographic area. In New York City's case, AMI is calculated for the entire New York-Newark metropolitan region and is set annually by the U.S. Department of Housing and Urban Development (HUD).

Think of AMI as the "middle" income level: 50% of households earn more than the AMI, and 50% of households earn less than the AMI.

For 2025, the AMI for a family of three in the NYC metro area is approximately $121,500.

NYC affordable housing programs use percentages of AMI to set income limits. For example: 60% AMI means your household can earn up to 60% of the area median income, and 80% AMI means your household can earn up to 80% of the area median income.

30% AMI (Extremely Low Income) - Target Population: Households with very limited income, often receiving public assistance. Income Limits: 1 person: $28,350, 2 people: $32,400, 3 people: $36,450, 4 people: $40,450. Typical Rent: $700–$1,000/month.

40% AMI (Very Low Income) - Target Population: Working households with limited income. Income Limits: 1 person: $37,800, 2 people: $43,200, 3 people: $48,600, 4 people: $53,950. Typical Rent: $950–$1,350/month.

50% AMI (Low Income) - Target Population: Low-wage workers, service industry employees. Income Limits: 1 person: $47,250, 2 people: $54,000, 3 people: $60,750, 4 people: $67,450. Typical Rent: $1,180–$1,680/month.

60% AMI (Low Income – Most Common) - Target Population: Entry-level professionals, public sector workers, families with multiple earners. Income Limits: 1 person: $56,700, 2 people: $64,800, 3 people: $72,900, 4 people: $80,900. Typical Rent: $1,420–$2,020/month. Note: 60% AMI is the most common income band for NYC housing lotteries.

80% AMI (Moderate Income) - Target Population: Middle-income working families, teachers, nurses, city employees. Income Limits: 1 person: $75,600, 2 people: $86,400, 3 people: $97,200, 4 people: $107,900. Typical Rent: $1,890–$2,690/month.

100% AMI (Moderate-Middle Income) - Target Population: Dual-income households, established professionals. Income Limits: 1 person: $94,500, 2 people: $108,000, 3 people: $121,500, 4 people: $134,850. Typical Rent: $2,360–$3,360/month.

130% AMI (Middle Income) - Target Population: Higher-earning professionals who still need affordable options. Income Limits: 1 person: $122,850, 2 people: $140,400, 3 people: $157,950, 4 people: $175,305. Typical Rent: $3,070–$4,370/month.

Step 1: Calculate Your Household's Gross Annual Income - Add up all income sources for every adult in your household: wages and salaries (before taxes), self-employment income, Social Security benefits, unemployment benefits, child support and alimony, pension and retirement income, and investment income. Example: You earn $45,000/year, and your partner earns $30,000/year. Your combined gross household income is $75,000/year.

Step 2: Determine Your Household Size - Count everyone who will live in the unit: adults, children, and dependents. Example: You, your partner, and one child = 3 people.

Step 3: Find Your AMI Percentage - Use the NYC AMI chart (updated annually on NYC Housing Connect) or use the NYC AMI Calculator at nychousinglottery.com/ami-calculator. Example Calculation: Household income: $75,000, Household size: 3 people, 60% AMI limit for 3 people: $72,900, 80% AMI limit for 3 people: $97,200. Result: Your household is above 60% AMI but below 80% AMI, so you qualify for lotteries targeting 80% AMI or higher.

Minimum and Maximum Income Requirements - Most NYC housing lotteries set both a minimum and maximum income limit. Example Lottery: Unit: 2-bedroom in Brooklyn, Rent: $1,800/month, Income requirement: 60% AMI. For a household of three: Minimum income: ~$64,800 (to afford the rent), Maximum income: $72,900 (60% AMI cap). If your household earns $80,000, you're over the limit and won't qualify—even if you can afford the rent.

Why AMI Limits Exist - AMI limits ensure that affordable housing units go to households who genuinely need them. Without these caps, higher earners would dominate the lottery, leaving lower-income families with no options.

Myth 1: "AMI is the same every year." False. HUD updates AMI figures annually to account for inflation and wage growth. Always check the current year's limits.

Myth 2: "I can use my net income (after taxes) to qualify." False. AMI calculations use gross income (before taxes and deductions). Do not subtract taxes, retirement contributions, or health insurance premiums.

Myth 3: "If I'm close to the limit, I should round down." False. Misreporting income is grounds for immediate disqualification. Always report your full, accurate gross income.

Myth 4: "Once my income is verified, I don't need to update it." False. If your income changes significantly between application and lease signing, you must report it. Failure to do so can result in lease denial.

The 30% Rule - NYC housing programs typically set rent at 30% of the household's gross income. Example: Household income: $60,000/year, Monthly gross income: $5,000, Maximum rent: $1,500/month (30% of $5,000). This ensures that rent remains affordable relative to income.

Rent Burden in NYC - For many New Yorkers, rent consumes 40%–50% of gross income. Affordable housing programs aim to reduce this burden to the more sustainable 30% threshold.

Single AMI for All Five Boroughs - Unlike some cities, NYC uses a single AMI figure across all five boroughs—Bronx, Brooklyn, Manhattan, Queens, and Staten Island. Why This Matters: A household earning $70,000 qualifies for 60% AMI housing in the Bronx the same way they would in Manhattan. However, rent amounts vary by borough based on construction costs and neighborhood.

Rent Differences by Borough - Even though AMI limits are the same, actual rents differ: Manhattan: Typically higher rents ($1,800–$2,500 for 60% AMI units), Brooklyn: Moderate to high rents ($1,500–$2,200), Queens: Moderate rents ($1,400–$2,000), Bronx: Lower rents ($1,200–$1,800), Staten Island: Lower to moderate rents ($1,300–$1,900).

Understanding AMI is essential for navigating the NYC housing lottery. By knowing your AMI band, you can target lotteries you're eligible for and avoid wasting time on applications that will be automatically rejected.

Use the NYC AMI Calculator to determine your eligibility, and consider setting up automated alerts so you're notified as soon as new lotteries matching your income band and preferences open.