Iowa Finance Authority announces loan of up to $5,000 toward new home

Iowans can now get a loan of up to $5,000 to buy their dream home.

House for sale, Photo Date: December 17, 2006 / Photo: Pexels / (MGN)

The Finance Authority is providing a zero-percent interest loan for first-time buyers or people that want to buy a new home. This program doesn't require buyers to pay monthly payments but it must be used in conjunction with another Iowa Finance Authority mortgage program. The loan can be used on a home worth up to $331,000. The group said its hope is to offer more options to home buyers.

"I think the biggest hurdle for homebuyers is coming up with that down payment and closing cost," said Iowa Finance Authority Single Family Director Rhonda Kimble. "This is just one benefit that we at the Iowa Finance Authority can provide to Iowans."

If you are interested, you can learn how to sign up for this loan program here.