First-Time Home Buyer Program Income Limits: 25 States Compared

There is no single income limit for first-time home buyer programs. Each state housing finance agency sets its own, usually by county and household size. As of November 2026, the main statewide programs in our table cap income anywhere from $75,050 (Sedgwick County, Kansas, family of four) to $237,440 (New York City, households of 3 or more). Programs funded with mortgage revenue bonds follow a federal rule: 100% of area median income for 1–2 person households and 115% for larger ones, under 26 U.S.C. § 143.

In this article (Skip to...)

• First-time home buyer income limits by state
• How first-time home buyer income limits are set
• Targeted areas have higher limits
• Whose income counts
• How to check your income limit
• How we got these numbers
• FAQ

First-time home buyer income limits by state

Each row shows the main statewide first mortgage or down payment program, how its income limit works, one example, and the agency’s own limits page. “1–2 people” and “3+" are household sizes. Click a state name for our full guide to that state’s programs.

We are still verifying the remaining states against their agencies’ own limits pages and will add them as we confirm them. Until then, see our guide to down payment assistance in every state.

How first-time home buyer income limits are set

Programs funded with tax-exempt mortgage revenue bonds, such as Montana’s Regular Bond and Virginia Housing’s Standard/Bond loans, must follow federal income caps. Under 26 U.S.C. § 143(f), family income must be 115% or less of the applicable median family income, which is the higher of the area or statewide median. For households of fewer than 3 people, that cap drops to 100%.

That is why so many rows above show two numbers. In Texas, for example, TDHCA labels Harris County’s limits as 100% of area median family income ($104,000) for 1–2 people and 115% ($119,600) for 3 or more. New Jersey’s 3+ limit is 115% of its 1–2 person limit in every county.

Programs that are not bond-funded can set limits differently. MassHousing uses 80% and 135% of area median income tiers. Kansas’s program caps income at 80% of area median. A few agencies use one flat number for the whole state, such as Alabama’s Step Up at $172,800 regardless of household size or location.

National programs have their own rules. Fannie Mae’s HomeReady income limits and USDA loan income limits apply on top of, or instead of, a state program’s limit.

Targeted areas have higher limits

Federal law also lets bond programs serve “targeted areas,” which are designated census tracts and economically distressed areas. There, one-third of the financing may go to buyers without regard to income, and the rest may go to buyers earning up to 140% of median (120% for 1–2 people). Buyers in targeted areas also do not have to be first-time buyers.

The difference can be large. In Harris County, Texas, the targeted-tract limit is $145,600 for 3 or more people, compared with $119,600 elsewhere in the county. In Marion County, Indiana, it is $154,420 vs. $126,845. Michigan lets repeat buyers use MI Home Loan in targeted areas, while buyers elsewhere must be first-time buyers.

Whose income counts

Agencies do not all count the same people. Read the rule before you compare your income with a limit:

• Everyone in the household. Georgia Dream counts every adult who will live in the home within 12 months of closing, even if they are not on the loan. Pennsylvania counts all adults who plan to live in the home within a year.
• Everyone on the title. Texas counts everyone who signs the deed of trust, including a non-purchasing spouse.
• Only the borrowers’ qualifying income. CalHFA counts the income your lender used to qualify you. Arizona’s Home Plus looks at the income of borrowers on the note.

This matters if you have a working adult child or roommate who is not on the loan. Their income could push a household over the limit in one state and not count at all in another.

How to check your income limit

• Find your county or area in the agency’s limits file linked above.
• Pick the column for your household size, and check whether your home is in a targeted area.
• Confirm the effective date. Most agencies in our table updated limits between May and August 2026; SC Housing, for example, says its limits stay in effect until HUD releases 2027 figures.
• Ask a participating lender to run your numbers. Lenders apply the program’s income rules and know which version of the limits is in effect for your loan reservation.

Income limits are only one requirement. Programs also set purchase price limits, credit score minimums and homebuyer education rules, and meeting a limit does not mean you will be approved.

How we got these numbers

We took each income limit from the state housing finance agency’s own limits page or program document, checked Nov. 10, 2026. For each state we chose the agency’s main statewide first mortgage or down payment program and one example area, usually the largest county or metro. Effective dates are as the agency states them; where an agency did not post one, we note when we checked. States we could not verify on an official agency page are not in the table yet.

FAQ

Sources: 26 U.S.C. § 143 (Cornell LII), CalHFA first mortgage, SONYMA Low Interest Rate Program, TDHCA My First Texas Home, MassHousing HFA Preferred / HFA Advantage, Georgia Dream, PHFA Keystone Home Loan, NJHMFA First-Time Homebuyer Mortgage Program, IHCDA First Step / Next Home, MSHDA MI Home Loan, CHFA SmartStep, MHDC First Place, OHFA DREAM Government, Virginia Housing first-time homebuyer, Maryland Mortgage Program, Minnesota Housing Start Up, Arizona IDA Home Plus, Housing New Mexico FirstHome, NDHFA FirstHome, SC Housing Homebuyer Program, AHFA Step Up, Kansas Housing First Time Homebuyer program, LHC MRB Assisted program, MaineHousing First Home Loan, Montana Board of Housing Regular Bond, ADFA Move-Up.