FirstHome Grant

FirstHome Grant is a grant for homebuyers in Statewide, Iowa. FirstHome Grant is a $2,500 true grant alternative to FirstHome 2nd Loan, paired with IFA's FirstHome 30-year fixed first mortgage. No repayment, no recorded lien on the grant amount. FTHB required; 640 FICO; county-specific income and acquisition caps. FirstHome Grant provides up to $2,500 in down payment and closing cost assistance as a TRUE GRANT — no repayment, no lien, no recapture. Paired with the IFA FirstHome first mortgage (30-year fixed-rate FHA/VA/USDA-RD/Conventional HFA Preferred/Advantage). Buyer chooses either the FirstHome Grant or the FirstHome 2nd Loan, not both. Funding comes from State, HFA, and Bond.

FirstHome Grant offers up to $2,500 in assistance. Homebuyer contribution: Borrower contribution per first-mortgage product overlays; no separate IFA contribution requirement. Amounts are the program's published maximums, not an offer — the administering agency determines any individual award.

FirstHome Grant is structured as a grant, so it is not repaid. Repayment is triggered by True grant — no repayment required. The assistance is recorded in N/A (grant - no lien) position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

FirstHome Grant is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: First-time-homebuyer rule waived in IFA-designated federally targeted census tracts and for qualifying veterans. On credit, the program states: 640 minimum FICO across all eligible loan products. A homebuyer education course is required, through IFA-approved homebuyer education through Framework, Money Smart, or HUD-approved housing counseling agency; required for all FirstHome borrowers prior to closing. Residency requirement: Property must be located in Iowa and used as borrower's primary residence. Citizenship or immigration status: U.S. citizen, permanent resident, or qualifying non-permanent resident alien per first-mortgage product overlays. First-time homebuyer required (no homeownership interest in past 3 years); waived in IFA-designated federal targeted areas and for qualifying veterans. Minimum 640 FICO. Maximum 50% DTI. Property must be primary residence. Household income at or below IFA county-specific limits (top tier ~$173,460 targeted). Purchase price at or below IFA acquisition limit (top tier ~$665,000 targeted, ~$544,000 non-targeted). Must use IFA Participating Lender. Homebuyer education required.

FirstHome Grant limits household income to $173,460. The limit applies to total household income, not only the borrower’s. Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

FirstHome Grant caps the purchase price at $665,000. Eligible property types include Single-family detached, condominium, townhouse, PUD, manufactured home (per first-mortgage overlays), 1-2 unit. New construction is eligible. Manufactured homes are eligible.

FirstHome Grant names veterans, active-duty service members, reservists and National Guard members, and surviving spouses among the groups it serves. Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

FirstHome Grant serves homebuyers purchasing in Statewide, Iowa. The program targets specific areas: IFA designates federally qualified target areas where income/acquisition limits are relaxed and FTHB is waived.

Applications for FirstHome Grant go through the administering agency, which publishes the current terms and the application steps on its own site. Funds are reserved through IFA-approved lender reserves funds via IFA's Online Lender Portal at time of loan reservation; subject to bond/program funding availability. Hey Prescott is not a lender and does not accept applications; this page describes the program so a homebuyer can take it to a lender or housing counselor.