Iowa Mortgage Calculator 2026

Calculate your monthly mortgage payment for a home in Iowa (IA). The median home price in Iowa is $237,298, with an effective property tax rate of 1.43% (ranked #10 nationally). Use our free calculator to compare FHA, VA, USDA, and conventional loan options with real Iowa data.

Iowa Property Tax Information

Iowa has an effective property tax rate of 1.43%, ranking #10 among all 50 states. The median annual property tax is $2,795 ($233/month). Source: Tax Foundation 2025.

Iowa Loan Limits 2026

FHA loan limit in Iowa: $524,225 (floor) to $524,225 (ceiling for high-cost areas). Conforming loan limit: $806,500 (baseline) to $806,500 (ceiling).

Estimated Monthly Payment in Iowa

For a median-priced home of $237,298 with 20% down ($47,460), at 6.5% interest over 30 years: estimated monthly principal and interest is $1,200, plus $233 in property taxes and approximately $125 in homeowner's insurance, for a total estimated payment of approximately $1,558/month.

Iowa Closing Costs

Average closing costs in Iowa are $1,640 (0.64% of purchase price), ranked #50 nationally. Iowa does not charge a transfer tax. Source: Bankrate/LodeStar 2025.

Iowa Housing Market 2026

Home prices in Iowa have increased 3.8% year-over-year. Average days on market: 45. Inventory level: moderate. Currently considered a buyer's market.

Down Payment Assistance Programs in Iowa

Iowa offers 3 down payment assistance programs through Iowa Finance Authority (IFA):

  • FirstHome Plus Grant (grant): Non-repayable grant for first-time buyers. No income limits in some areas. - Up to Up to 5% of home price
  • Homes for Iowans Plus Grant (grant): For down payment or closing costs. Available to repeat buyers too. - Up to $2,500
  • Military Homeownership Assistance (grant): Additional grant for active military and veterans. - Up to Up to $5,000

Contact IFA: https://www.iowafinance.com | Phone: 515-725-4900

Did You Know About Iowa?

  • Iowa has the 2nd lowest closing costs in the nation
  • No transfer tax on real estate transactions
  • Des Moines ranked among best cities for first-time buyers
  • Strong agricultural economy provides stable housing market

Frequently Asked Questions About Buying a Home in Iowa

What is the average property tax rate in Iowa?

The effective property tax rate in Iowa is 1.43%, with a median annual tax of $2,795. This ranks #10 among all states.

What are the FHA loan limits in Iowa for 2026?

The FHA loan floor in Iowa is $524,225 and the ceiling is $524,225 for high-cost areas. The conforming loan limit baseline is $806,500.

How much are closing costs in Iowa?

Average closing costs in Iowa are $1,640, which is approximately 0.64% of the purchase price.

Are there first-time homebuyer programs in Iowa?

Yes, Iowa offers 3 down payment assistance programs through Iowa Finance Authority, including grants, forgivable loans, and second mortgages.

Is Iowa a good place to buy a home in 2026?

With a median home price of $237,298 and moderate inventory, Iowa is currently a buyer's market. Home prices have increased 3.8% over the past year.

Related Tools

Data last updated: 2025-11. This information is for educational purposes only and should not be considered financial advice.