FHFA Increases Area Median Income Limits for 2025
The Federal Housing Finance Agency (FHFA) has increased the Area Median Income (AMI) limits for 2025 in most areas across the country.1 While this might sound like technical jargon, it actually translates to expanded homeownership opportunities for many potential buyers.
AMI limits are income thresholds used to determine eligibility for various affordable mortgage programs. These limits are set at the county level, meaning they vary depending on where you live. When these limits increase, more households qualify for specialized loan products with favorable terms, lower down payment requirements and reduced fees.
As of May 18, 2025, these higher income limits now apply to popular programs like Freddie Mac’s Home Possible® (for borrowers with income up to 80% of AMI) and Refi Possible® (for borrowers with income up to 100% of AMI), and Fannie Mae’s HomeReady®. The changes also impact the Ameris Down Payment Grant Program and a variety of state and local housing affordability programs. For first-time homebuyers especially, these programs can significantly reduce the financial barriers to homeownership.
These changes mean that families who previously earned just above the qualifying threshold may now be eligible for these special mortgage products. For example, in Fulton County, Georgia (Atlanta), the AMI increased from $106,100 in 2024 to $113,500 in 20252—a jump that could make a significant difference for many households on the cusp of eligibility. Borrowers may also qualify for credit fee caps and credits, potentially saving thousands on their home financing.
If you've been considering buying a home but weren't sure if you'd qualify for affordable lending programs, now is an excellent time to reassess your options. Our mortgage professionals are ready to help you navigate these new opportunities and find the right financing solution for your unique situation.
Contact us today to learn how these expanded AMI limits might benefit you on your homeownership journey.
Sources:
1 https://sf.freddiemac.com/articles/news/qualify-more-borrowers-updated-ami-limits-released
2 https://sf.freddiemac.com/working-with-us/affordable-lending/area-median-income-and-property-eligibility-tool
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.
What Are AMI Limits and Why Do They Matter?
AMI limits are income thresholds used to determine eligibility for various affordable mortgage programs. These limits are set at the county level, meaning they vary depending on where you live. When these limits increase, more households qualify for specialized loan products with favorable terms, lower down payment requirements and reduced fees.
How This Affects You
As of May 18, 2025, these higher income limits now apply to popular programs like Freddie Mac’s Home Possible® (for borrowers with income up to 80% of AMI) and Refi Possible® (for borrowers with income up to 100% of AMI), and Fannie Mae’s HomeReady®. The changes also impact the Ameris Down Payment Grant Program and a variety of state and local housing affordability programs. For first-time homebuyers especially, these programs can significantly reduce the financial barriers to homeownership.
Real Benefits for Real People
These changes mean that families who previously earned just above the qualifying threshold may now be eligible for these special mortgage products. For example, in Fulton County, Georgia (Atlanta), the AMI increased from $106,100 in 2024 to $113,500 in 20252—a jump that could make a significant difference for many households on the cusp of eligibility. Borrowers may also qualify for credit fee caps and credits, potentially saving thousands on their home financing.
Next Steps
If you've been considering buying a home but weren't sure if you'd qualify for affordable lending programs, now is an excellent time to reassess your options. Our mortgage professionals are ready to help you navigate these new opportunities and find the right financing solution for your unique situation.Contact us today to learn how these expanded AMI limits might benefit you on your homeownership journey.
Sources:
1 https://sf.freddiemac.com/articles/news/qualify-more-borrowers-updated-ami-limits-released
2 https://sf.freddiemac.com/working-with-us/affordable-lending/area-median-income-and-property-eligibility-tool
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.