MFI: How 'Affordable' Is Your Rent?

Austin generally calculates residential expenses in terms of median family income, adjustable to family size; the median lies statistically in the center, with half of Austin families (of varying unit size, see right) earning more than that amount annually and the other half making less. Eighty percent MFI – one common standard for "affordable" – clocks in for a one-person "family" at a healthy $39,850 yet is still considered "low income" by the standards of U.S. Housing and Urban Development. The standard has inevitably led to some steep rents, which are still technically "affordable." For example, HUD defines "affordable" rent as not consuming more than one-third of a person's income; by that reading, rent for a single person earning 80% MFI could top out at $996 a month and still technically be considered "affordable" from a developer-incentives standpoint. If Austin is serious about preserving its affordable rental stock, a fairer measure of affordability than 80% MFI – or commitment to deeper affordability – is likely needed.

	Household Size
Income	1	2	3	4
30% Median Income	14,950	17,100	19,200	21,350
40% Median Income	19,900	22,750	25,600	28,450
50% Median Income	24,900	28,450	32,000	35,550
60% Median Income	29,850	34,150	38,400	42,650
65% Median Income	32,350	36,950	41,600	46,200
80% Median Income	39,850	45,500	51,200	56,900

"HUD Income Limits by Household Size," effective March 20, 2007, from the city of Austin's Neighborhood Housing and Community Development Office