Annual income, adjusted income and net family assets are computed under HUD's Part 5 rules

rd515.income_calculation.part5_cross_reference · v1.0.0

For a Section 515 household the borrower must compute annual income in accordance with 24 CFR 5.609(a) and (b), adjusted income in accordance with 24 CFR 5.611, and net family assets in accordance with 24 CFR 5.603(b). Rural Development does not maintain a separate income arithmetic: 7 CFR 3560.153 adopts HUD's definitions by cross-reference, and the April 2026 amendment narrowed the annual-income reference to 24 CFR 5.609(a) and (b) and added the net family assets paragraph expressly to align the programme with HOTMA. Certifications effective on or after 1 July 2025 must be taken on Form RD 3560-8 (Rev. 04-25), which carries the HOTMA income and asset changes; the prior form was renamed Form RD 3560-8A (Rev. 08-11) and is used only for certifications effective before that date.

Confidence

high

Effective from

2026-04-13

Last reviewed

2026-08-30