On June 8, 2022, the U.S. Department of Agriculture (“USDA”) issued a Special Procedure Notice to announce increased 2022 income limits for the Rural Development Single Family Guaranteed Loan Program. The new income limits apply to loans submitted on or after June 8, 2022.
The income limits for the Single Family Guaranteed Loan Program increased for all U.S. counties. Prior to the update, the moderate-income limit was $91,900 for a 1-4 person household and $121,300 for a 5-8 person household. As of June 8, 2022, the moderate-income limit in most counties is $103,500 for a 1–4 person household and $136,600 for a 5–8-person household. For households that exceed eight members, the income limit is increased by eight percent of the 1-4 limit for each additional person.
Income limits do vary greatly for high-cost counties to account for a higher cost of living. For example, the moderate-income limit for a high-cost county like Anchorage, Alaska is $189,050 for a 1–4 person household and $249,550 for a 5-8 person household. A complete list of the 2022 income limits can be viewed here.
Both the USDA’s Guaranteed Underwriting System (GUS) and the Income Eligibility calculator on the USDA Eligibility Website have been updated to use the new income limits. Additionally, Appendix 9 of the USDA Single Family Handbook, HB-1-3550, and Appendix 5 of the Single Family Guaranteed Loan Program Technical Handbook, HB-1-3555, have been updated to reflect the 2022 income limits.
The USDA housing income limits apply to the entire household. Any member of the household that is 18 years old or older and earns income must be included in the total even if they are not included in the loan application. Customers using DocMagic’s USDA Single Family Guaranteed Loan Programs should ensure they are using the 2022 income limits that are in effect based on the subject property county and state.
If you have any questions, please contact DocMagic’s Compliance Department.
