FirstHome Program Brochure

Many first-time homebuyers have a hard time coming up with cash for down payment and closing costs. IFA's FirstHome Plus program provides cash assistance of up to $2,500 to help with closing costs and down payment or repairs. Qualified homebuyers may have a household income of up to $46,800.

Why choose FirstHome Plus?

1. The interest rate for FirstHome or FirstHome Plus loans is usually lower than the market rate. What's more, the interest rate is fixed for 30 years.

2. IFA loan funds may be used with any standard loan product offered by Fannie Mae, USDA Rural Development or other government loan products such as FHA or VA. IFA funds may not be used to refinance an existing mortgage.

3. IFA does not charge any fees in connection with the loan. Participating lenders charge only customary fees associated with the granting of a mortgage; lenders do not charge discount points or origination fees on IFA loans.

Who qualifies?

Qualified homebuyers may have a household income of up to $46,800. Also, eligible homeowners must occupy the home within 60 days of closing or within 60 days of building completion.

Maximum purchase price

In most of the state, the maximum purchase price is $237,000. Homes that are located within a targeted census tract may cost up to $289,000.

The U.S. Census Bureau has identified specific targeted areas within some Iowa cities. Income limits are higher in targeted areas, which are defined as locations in need of capital improvements. The entire city, however, is not a targeted area. Outside targeted areas, the county's non-targeted income limits apply. People who use the FirstHome or FirstHome Plus program to purchase homes within targeted areas do not need to be first-time homebuyers. Contact the Iowa Finance Authority to learn whether the home you are interested in is located within a targeted census tract.

To learn about how you can become a first-time homeowner with FirstHome, send us an e-mail or call 800.432.7230.

Note: In some specific and very rare instances, home buyers who use FirstHome or FirstHome Plus must pay a recapture tax. Contact the Iowa Finance Authority to learn more.