PRIA Logo™
Title 42, The Public Health and WelfareRelease 119-102

§12744 Income Targeting

Title 42 › CHAPTER 130 — NATIONAL AFFORDABLE HOUSING › SUBCHAPTER II — INVESTMENT IN AFFORDABLE HOUSING › Part A — HOME Investment Partnerships › § 12744

Last updated Aug 21, 2026|Official source

Summary

Each year, a participating jurisdiction must spend these funds so rental help mostly reaches lower-income families. At least 90% of the families getting rental assistance (or the units helped) must have incomes at or below 60% of the area’s median income, as set by the Secretary, measured at move-in or when the money is used, whichever is later. The Secretary can raise or lower that 60% limit for costs or unusually high or low incomes. The rest must go to other low-income households. All homebuying help must go to families with incomes at or below 100% of the area’s median. Every dollar must pay for housing that meets the affordable-housing rules in section 12745.

Full Legal Text

Title 42, §12744

The Public Health and Welfare, Source: USLM XML via OLRC

Each participating jurisdiction shall invest funds made available under this part within each fiscal year so that—
(1)with respect to rental assistance and rental units—
(A)not less than 90 percent of (i) the families receiving such rental assistance are families whose incomes do not exceed 60 percent of the median family income for the area, as determined by the Secretary with adjustments for smaller and larger families, (except that the Secretary may establish income ceilings higher or lower than 60 percent of the median for the area on the basis of the Secretary’s findings that such variations are necessary because of prevailing levels of construction cost or fair market rent, or unusually high or low family income) at the time of occupancy or at the time funds are invested, whichever is later, or (ii) the dwelling units assisted with such funds are occupied by families having such incomes; and
(B)the remainder of (i) the families receiving such rental assistance are households that qualify as low-income families (other than families described in subparagraph (A)) at the time of occupancy or at the time funds are invested, whichever is later, or (ii) the dwelling units assisted with such funds are occupied by such households;
(2)with respect to homeownership assistance, 100 percent of such funds are invested with respect to dwelling units that are occupied by families with a household income that does not exceed 100 percent of the median family income of the area, as determined by the Secretary; and
(3)all such funds are invested with respect to housing that qualifies as affordable housing under section 12745 of this title.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2026—Par. (2). Pub. L. 119–101 substituted “families with a household income that does not exceed 100 percent of the median family income of the area, as determined by the Secretary” for “households that qualify as low-income families”. 1998—Par. (2). Pub. L. 105–276 struck out “at the time of occupancy or at the time funds are invested, whichever is later” before “; and”. 1994—Par. (1)(A). Pub. L. 103–233, § 202(1), substituted “(i) the families receiving such rental assistance are” for “such funds are invested with respect to dwelling units that are occupied by”, “, or” for “, and” before cl. (ii), and added cl. (ii). Par. (1)(B). Pub. L. 103–233, § 202(2), substituted “(i) the families receiving such rental assistance are” for “such funds are invested with respect to dwelling units that are occupied by” and added cl. (ii).

Statutory Notes and Related Subsidiaries

Effective Date

of 1998 Amendment Pub. L. 105–276, title V, § 599B(c), Oct. 21, 1998, 112 Stat. 2660, provided that: “The

Amendments

made by this section [amending this section and section 12745 of this title] are made on, and shall apply beginning upon, the date of the enactment of this Act [Oct. 21, 1998].”

Effective Date

of 1994 AmendmentAmendment by Pub. L. 103–233 applicable with respect to any amounts made available to carry out this subchapter after Apr. 11, 1994, and any amounts made available to carry out this subchapter before that date that remain uncommitted on that date, with Secretary to issue any

Regulations

necessary to carry out such amendment not later than end of 45-day period beginning on that date, see section 209 of Pub. L. 103–233, set out as a note under section 5301 of this title.

Reference

Citations & Metadata

Citation

42 U.S.C. § 12744

Title 42, The Public Health and Welfare

Last Updated

Aug 21, 2026

Release point: 119-102