To qualify for affordable housing in the United States, applicants must meet specific financial, legal, and demographic criteria. First, households must meet income limits set by local or federal programs, which are typically based on area median income (AMI). For example, under the U.S. Department of Housing and Urban Development (HUD), applicants must earn no more than 80% of AMI for most rental assistance programs. Second, citizenship or legal residency is generally required, though some programs allow non-citizens with valid immigration status. Third, applicants must demonstrate a need for housing, such as experiencing homelessness, living in substandard conditions, or having a household size that exceeds local affordable housing quotas. Additionally, many programs impose asset limits to ensure resources are allocated to the neediest households.

The primary rationale for these requirements is to allocate limited housing resources efficiently and equitably. Income limits prevent wealthier households from accessing programs designed for low- and moderate-income individuals. According to HUD data, 68% of the U.S. population qualifies for affordable housing assistance based on income thresholds alone, but program caps ensure only the most vulnerable are prioritized. Citizenship criteria align with funding restrictions from Congress, which often ties federal dollars to eligibility for citizens and legal residents. For instance, the Section 8 program, which assists 2.2 million households annually, explicitly requires citizenship or lawful permanent residency (HUD, 2023). Homelessness and asset limits address systemic inequities; 11 million renter households spend over 50% of their income on housing, straining affordability (National Low Income Housing Coalition, 2022). Asset caps, such as the $5,500 limit for a family of four under Section 8, prevent high-saving applicants from displacing those with fewer resources. These measures collectively ensure housing assistance targets those most vulnerable to displacement and instability, though gaps persist due to underfunding and bureaucratic barriers.