On April 1, 2025, the U.S Department of Housing and Urban Development (HUD) Office released the 2025 Multifamily Tax Subsidy Projects (MTSP) Income Limits.  

These income limits are critical for developments funded through federal rental housing programs, including the Low-Income Housing Tax Credit (LIHTC) and Tax-Exempt Private Activity Bonds (PABs), as they establish the maximum income threshold for tenant eligibility in these developments, and maximum allowable rents are generally calculated as 30% of the applicable MTSP Income Limit based on imputed household size. 

For affordable housing professionals, understanding the nuances embedded within these updates is essential for maintaining compliance and ensuring continued access to funding opportunities. If you have questions about how the 2025 MTSP Income Limits impact your affordable housing projects, or if you are looking for legal guidance in navigating affordable housing regulations, programs, and incentives, please reach out to the Affordable Housing and Tax Credits Team at Nelson Mullins.