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First-Time Buyer loans in Iowa

Quick answer

First-time buyers in Iowa can use FHA (3.5% down), conventional 97 (3% down), VA or USDA loans, plus programs from Iowa Finance Authority (IFA). On a $195,900 home, 3% down is about $5,877.

By Purchase Mortgage Loan Editorial Team Checked against official sources per our editorial standardsLast updated

First-Time Buyer loan snapshot for Iowa

ItemEstimate
Minimum down payment0%–3.5%
Minimum credit score580–620
Typical IA home value$195,900
3.5% down on typical home$6,857
20% down on typical home$39,180
Avg. effective property tax1.43%/yr (~$233/mo)
Income for typical home (31% rule)$65,000

Rate assumption: 7.18% (Freddie Mac PMMS 30-year fixed average, week of November 5, 2026). Change it in the payment calculator.

Which Iowa programs pair with First-Time Buyer loans?

  • FirstHome: A first mortgage for first-time buyers with income and price limits.
  • FirstHome Plus / Homes for Iowans: Grants or deferred loans toward down payment and closing costs for eligible buyers.

Details and current limits: Iowa Finance Authority (IFA).

Compare first-time buyer loan options

LoanMin. downMin. creditMortgage insurance
FHA3.5%5801.75% upfront + annual MIP
Conventional 97 / HomeReady / Home Possible3%620PMI, removable
VA0%Lender-set (~580–620)None (funding fee)
USDA0%~6401% upfront + 0.35% annual

Who counts as a first-time home buyer?

Under HUD and most agency definitions, you're a first-time buyer if you haven't owned a principal residence in the last three years. Single parents and displaced homemakers who only owned with a former spouse may also qualify.

First-Time Buyer loans in Iowa cities

First-Time Buyer in Des MoinesFirst-Time Buyer in Cedar RapidsFirst-Time Buyer in DavenportFirst-Time Buyer in Sioux CityFirst-Time Buyer in Iowa CityFirst-Time Buyer in AnkenyFirst-Time Buyer in West Des MoinesFirst-Time Buyer in WaterlooFirst-Time Buyer in AmesFirst-Time Buyer in Council BluffsFirst-Time Buyer in DubuqueFirst-Time Buyer in UrbandaleFirst-Time Buyer in MarionFirst-Time Buyer in Cedar FallsFirst-Time Buyer in BettendorfFirst-Time Buyer in MarshalltownFirst-Time Buyer in Mason CityFirst-Time Buyer in WaukeeFirst-Time Buyer in OttumwaFirst-Time Buyer in Fort DodgeFirst-Time Buyer in ClintonFirst-Time Buyer in JohnstonFirst-Time Buyer in BurlingtonFirst-Time Buyer in MuscatineFirst-Time Buyer in CoralvilleFirst-Time Buyer in North LibertyFirst-Time Buyer in AltoonaFirst-Time Buyer in CliveFirst-Time Buyer in IndianolaFirst-Time Buyer in GrimesFirst-Time Buyer in NewtonFirst-Time Buyer in NorwalkFirst-Time Buyer in BooneFirst-Time Buyer in OskaloosaFirst-Time Buyer in SpencerFirst-Time Buyer in Storm LakeFirst-Time Buyer in Pleasant HillFirst-Time Buyer in PellaFirst-Time Buyer in Le MarsFirst-Time Buyer in WaverlyFirst-Time Buyer in CarrollFirst-Time Buyer in Fort Madison

Frequently asked questions

Yes. First-Time Buyer loans are available statewide in Iowa through approved lenders, subject to county loan limits where they apply.

Often yes. Iowa Finance Authority (IFA) and local programs frequently pair assistance with FHA, conventional, VA or USDA first mortgages. Eligibility depends on income, price and program rules.

Answer a few questions on Purchase Mortgage Loan and we'll match you with lenders and loan officers in our network who serve Iowa.

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Figures on this page are estimates for educational purposes only and are not a loan offer or commitment to lend. Rates, loan limits, fees and assistance programs change frequently and vary by lender, location and borrower profile. Confirm current terms with a licensed loan officer.