Available in the city of Dubuque, as much as $5,000 (or $25,000 for those with an annual household income not more than 30% of the area median income) is offered as closing cost and down payment assistance. This is a long-term loan with 0% interest. Those who receive a $5,000 loan repay it over the course of the next 8 years, and those who receive a $25,000 loan can defer payment for 5 years, and then pay $60 per month for a term of 35 years.
Applicants are required to put down a minimum of 3% of the purchase price of the house as the down payment. At least 1% of this must come from the borrower’s own funds, but the remaining 2% can be gifted.
The properties purchased using this program must be an owner-occupied, single-family or duplex home. Properties must be inspected prior to approval.
Other programs in Iowa:
- Home$tart and Home$tart Plus Programs
- Military Homeownership Assistance Program
- Waterloo Down Payment Assistance Program
- Cedar Rapids First Time Home Buyer Program