AB 540 Nevada Attainable Housing Act — The $133M Middle-Income Buyer Program
The 60-second answer
Nevada AB 540 (the Nevada Housing Access and Attainability Act) is a landmark 2025 state law that allocated $133 million to the Nevada Attainable Housing Account, specifically targeting middle-income buyers between 80-150% of Area Median Income (AMI).
The key facts:
- $133M total funding allocated 2025-2027
- Worker Advantage Program ($20K DPA for essential workers) is one major component
- Attainable Housing Account (broader middle-income DPA component) is being developed
- Target audience: middle-income buyers ABOVE traditional HIP income limits but below jumbo+luxury
- 80-150% AMI: roughly $90K-$170K household income in Clark County (varies by county + family size)
- Statewide eligibility — Las Vegas, Reno, all NV
For Nevada families earning too much for traditional HIP but not enough to easily afford NV home prices, AB 540 is the major new state housing intervention.
Who AB 540 is designed for
AB 540 specifically targets the "missing middle" — buyers who earn too much for traditional first-time buyer DPA programs but too little to comfortably afford NV's rising home prices.
Income range (approximate Clark County, household of 4)
- HIP standard income limit: ~$135K (varies)
- Worker Advantage income limit: ~$165K (varies)
- AB 540 Attainable Housing range: roughly $135K-$200K (80-150% AMI)
- Above 150% AMI: uses standard market financing without state assistance
Who this serves
- Mid-career professionals earning $135K-$200K
- Dual-income households with combined income in this range
- Essential workers earning above HIP limit (some teachers, nurses, etc.)
- Move-up buyers moving from rental or smaller home into market-rate homes
- Critical workforce that NV needs to retain but couldn't otherwise afford housing
What AB 540 provides (developing)
The Nevada Housing Division is implementing AB 540 programs:
Worker Advantage ($20K essential worker DPA)
Already active (launched December 2025). See Worker Advantage page for full details.
Attainable Housing Account programs (in development)
- Down payment + closing cost assistance for middle-income buyers
- Specific structure being determined
- Likely combination of forgivable + repayable structures
- Specific income limits + property price limits per program
Below-market rate options
Some AB 540 programs may include below-market interest rates for qualifying borrowers.
Background — why AB 540 was passed
Nevada faces a specific housing access challenge:
The "missing middle" problem
- HIP traditional programs help low-to-moderate income (below 80% AMI)
- Market financing works for high-income (above 150% AMI)
- Middle income (80-150% AMI) historically had no DPA help
- This group includes much of Nevada's essential workforce
Why middle income matters
- Middle-income workers (teachers earning $65-95K, nurses earning $75-110K, etc.) are critical to Nevada's economy
- These workers were being priced out of NV's growing housing market
- Without housing access, retention + recruitment suffered
Legislative response
- AB 540 sponsored by Speaker Yeager (D-Clark) passed in 2025 session
- $133M allocated to Nevada Attainable Housing Account
- Specifically targeted at 80-150% AMI middle-income buyers
- Governor Lombardo signed into law as part of Housing Access initiative
Income limits — by household size + county (2026 approximate)
AMI limits vary by county + adjusted annually. Approximate 2026 Clark County limits:
| Household Size | 80% AMI | 100% AMI (Median) | 150% AMI |
|---|---|---|---|
| 1 person | ~$58K | ~$72K | ~$108K |
| 2 person | ~$66K | ~$82K | ~$123K |
| 3 person | ~$74K | ~$93K | ~$139K |
| 4 person | ~$82K | ~$103K | ~$154K |
| 5 person | ~$89K | ~$111K | ~$167K |
| 6 person | ~$95K | ~$119K | ~$179K |
For Washoe County (Reno + Sparks): generally similar but verify current.
For rural NV counties: typically lower AMI ranges.
How AB 540 stacks with other programs
vs Worker Advantage
Worker Advantage ($20K for essential workers) is one AB 540 program. Other AB 540 programs may offer: - Larger or smaller DPA depending on income tier - Different income eligibility - Rate-based benefits
vs Standard HIP
HIP serves below-80% AMI buyers. AB 540 fills the 80-150% gap. Different audiences; rarely overlap.
vs FHA/VA/Conventional
AB 540 programs combine with first mortgage types (FHA, VA, Conventional, USDA). It's the DPA layer, not the mortgage itself.
vs CDA-style programs
Local DPA programs (City of LV, Clark County, Washoe County) may stack or substitute for AB 540 programs depending on specifics.
Common AB 540 candidate scenarios
Scenario 1: Mid-career Vegas nurse + teacher couple
- Both work in essential roles
- Combined income: $185K
- Above HIP limit, within Worker Advantage limit
- Worker Advantage applies (essential workers): $20K assistance
- AB 540 framework
Scenario 2: Henderson family with growing kids
- $148K combined income (single income earner + spouse)
- Family of 5 (just under 150% AMI for family of 5)
- Not essential worker (one's IT, one's accounting)
- Likely qualifies for new Attainable Housing Account program (being developed)
- Watch for program rollout
Scenario 3: Reno tech professional couple
- Combined $175K
- Within 150% AMI for family of 4
- AB 540 Attainable Housing Account potential candidate
- Would benefit from DPA they otherwise couldn't access
Scenario 4: Las Vegas first-responder family
- Police officer + admin spouse: $155K combined
- Essential worker — Worker Advantage applies
- $20K assistance for primary residence
Scenario 5: Above 150% AMI (does NOT qualify)
- Combined $210K (above 150% AMI)
- Doesn't qualify for AB 540 programs
- Standard market financing applies
- Other paths: standard mortgage with strong rate; jumbo if applicable
Timeline + program rollout
Currently active (2026)
- Worker Advantage — launched December 2025
In development (2026-2027)
- Attainable Housing Account — being designed by Nevada Housing Division
- Specific program structures + eligibility criteria being finalized
- Application processes + lender partnerships being established
Expected rollout
- Throughout 2026 + 2027
- Programs may roll out in phases
- Watch for Nevada Housing Division announcements
What this means for NV middle-income buyers
If you're in the 80-150% AMI range and considering a NV home purchase:
Right now
- Worker Advantage applies if you're an essential worker
- Standard mortgage qualifying for non-essential-worker middle-income buyers
- Monitor program rollout for Attainable Housing Account programs
Going forward
- New DPA options likely available 2026-2027
- Mike will track program developments + notify clients of new options
- Get pre-qualified now so you're ready when programs launch
Frequently asked questions
When will the Attainable Housing Account programs launch?
Nevada Housing Division is developing programs throughout 2026. Specific launch dates not yet announced. Monitor for updates. {#faq-when-launch}
Is Worker Advantage the only currently-active AB 540 program?
Worker Advantage is the largest current AB 540-funded program. Other components are in development. {#faq-only-current}
Can I qualify for AB 540 if I'm not an essential worker?
For Worker Advantage: no, must be essential worker. For broader AB 540 Attainable Housing programs (in development): more inclusive eligibility likely. {#faq-not-essential}
How do I know if I'm in 80-150% AMI?
AMI varies by county + household size. Verify with HUD AMI tables or with Mike. {#faq-ami-tier}
Can AB 540 help with refinance or only purchase?
Most AB 540 programs target purchase financing. Refinance assistance less common. Verify specific programs. {#faq-refinance}
Does AB 540 work for investment property?
No — AB 540 programs target primary residence (owner-occupied). {#faq-investment}
How does AB 540 compare to other states' middle-income housing programs?
Nevada's $133M is substantial vs many other state programs. CA, OR, WA have larger programs at scale; NV's is competitive per-capita. {#faq-other-states-comparison}
Will AB 540 fund continue beyond 2027?
Initial allocation is 2025-2027. Future funding depends on subsequent legislative action. Watch for legislative session updates. {#faq-future-funding}
Does AB 540 work in rural NV (Pahrump, Elko, etc.)?
Statewide — yes. Rural NV AMI limits differ from Clark/Washoe but programs apply. {#faq-rural-nv}
What credit score for AB 540 programs?
Same as underlying first mortgage. FHA 580+, Conventional 620+, etc. AB 540 doesn't lower credit thresholds. {#faq-credit-score}
Talk to Mike about your AB 540 + middle-income housing scenario
Free 30-minute call. Mike will model current Worker Advantage + other AB 540 program eligibility for your specific situation + monitor new program rollouts.
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(480) 296-6513 · Mike Certo, NMLS #260555 · Cornerstone First Mortgage NMLS #173855
Sources
- Nevada Policy — Understanding AB 540
- Nevada Housing Division
- Nevada Department of Business and Industry — Housing Access Act
Mike Certo · NMLS #260555 · Cornerstone First Mortgage NMLS #173855 · Equal Housing Lender. Educational content, not a loan commitment. Program details may change as Nevada Housing Division implements programs. Loans subject to buyer and property qualification.