Wednesday, April 24, 2019

2019 HUD Income Limits Out: Oregon Leads All States in Rate of Increase at 7.9%/Portland Metro Increase 8%.

HUD has published FY 2019 income limits HERE. ( My prior post on FY 2018 income limit changes is HERE). 

Note that HUD's income limits use median family income, not median household income; household income is lower than family income. My prior 2017 post HERE allows comparisons of various income measures for different geographies. (Data has not been updated since post, but provides good idea of relative differences between different income measures). 

The table HERE and embedded below shows Oregon HUD median family limits (and select % changes) for FY 1999, FY 2010, FY 2016, FY 2017, FY 2018, AND FY 2019.

County/Metro median income increases last year ranged from -5.1% (Douglas) to 15.3% (Josephine).

HUD median income increases this year range from -9% (Josephine ) to 23.1% (Umatilla).   

Portland Metro: Median "Affordable" Rent Now Just a Coffee Below $2,200.
The HUD Portland metro median income for FY is 87,900, up from $82=81,400 in FY 2018). Last year the annual increase was 8.1%, and this year it is 8%.

In 2019 the Portland metro "affordable" rent at median income is $2,198 VS $2,035 last year. 

That means that at the HUD Portland metro median family income, "affordable rent" [30% of income] increased by $163 a month for FY 2019, AFTER increasing by $168 in FY 2018--a $331 increase in two years.  

Oregon Had Largest State Percentage Increase
Oregon's statewide HUD median family income increased by 7.9% (from $69,900 to $75,400), the LARGEST statewide percentage median income increase in the  country. [The average US increase was 5%].  The table also shows that Oregon HUD median family income has increased by 67.2% from FY 1999-FY2019.

Median incomes are used as a base for calculating rent increases in a variety of programs.  OHCS will soon post income and rent limits HERE for a variety programs like LIHTC, HOME, LIFT, inclusionary zoning, etc.  It is important to use program guidance on income limits, they don't always follow simple percentage calculations. 

[Cheat sheet: As a gross rule, you can calculate affordable monthly rent (30% of income for rent) by dividing the annual income by 40].

Originally created and posted on the Oregon Housing Blog

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