Iowa Grants There are many grants available in this State to assist a home buyer purchase a home. By using these grants it makes it possible to purchase a home with little or no money down.  Below is a list of some of the grants available, as well as contact information for each. Some are State sponsored grants. Some are sponsored on the county or municipality level.  Understand that many of these grants have limited funding, and most have income restrictions, so it is important to work with your mortgage lender and the non profit administering the grant program to ensure availability of funds.  State Sponsored Bank Sponsored Matching Funds Programs Community/local Sponsored Grants Seller Funded Down Payment Assistance Programs State Sponsored  The State of Iowa offers a grant of up to$2,500 for eligible first time home buyers to help purchase a home. They also have a $5000 for members of the military. Below are links to the State’s web site:  First time homebuyers http://www.iowafinanceauthority.gov/ Military  http://www.iowafinanceauthority.gov/ Bank Sponsored Matching Funds Programs  Banks that are members of the Federal Home Loan Banking system also offer IDA savings accounts. Visit the Regional Federal Home Loan Bank web site for more information. Community/local Sponsored Grants Benton County Homebuyer Assistance Program (HAP)  (319) 472-2365  Council Bluffs Heritage of Council Bluffs Program (HCBP)  (712) 320-4616  Davenport United Neighbors, Inc. DREAM Home Buyer's Program (DREAM)  (319) 322-7363  Des Moines New Construction Program (NCP)  (515) 283-4512  Fort Dodge Homebuyers Assistance Program (HAP)  (515) 576-8191 Hawarden Iowa Lamb Corporation Employer Down Payment Gift Program (GIFT)  (712) 551-1126  Iowa Individual Development Account Gift Program (IDA)  (515) 283-0940  Iowa State RHI Local Housing Assistance Program (LHAP)  (319) 732-5555  Iowa Winterhaven Inc Down Payment/Closing Cost Assistance Program (GIFT)  (515) 327-1911  Multi-Counties Homeward, Inc. Home Buyer Program (ABP)  (515) 825-3947  Northwood Housing Assistance Program Down Payment Assistance (DPA)  (641) 324-1075  Polk County Housing Trust Fund Gap Subsidize Program (GSP)  (515) 282-6222  Sioux City Affordable Home Ownership Program  (712) 279-6276  Wright County First Time Home Owners Program (FTHP)  (515) 532-6422  Seller Funded Down Payment Assistance Programs There are several non profit organizations that allow a seller to “donate” funds to them at closing, which is then given to the buyer as a down payment assistance grant. Presently, the federal government is reviewing these programs to determine whether this practice is an acceptable lending practice. By using one of these programs it is possible to purchase a home with little or no money. The seller needs to be a motivated seller, and the home needs to be priced correctly. Usually the sales price is inflated to cover the “donation”. The home must be able to appraise at the inflated price. These programs are initiated by the lender, so it is important to work with a local lender before you start looking for a home. The lender will also know how present legislation is affecting the program. The two most commonly used programs are The American Dream DAP and The Nehemiah DAP. Below are links to their web site. American Dream:  http://www.americandreamdownpaymentassistance.com/dpa_app.cfm Nehemiah Corp:    http://www.nehemiahcorp.org/