Affordable Homeownership Program

Affordable Homeownership Program Overview

Program Name: Affordable Homeownership Program

Status: Active - ongoing program since 1988

Geographic Scope: Linn and Benton Counties, Iowa

Background: Cedar Valley Habitat for Humanity offers a hand-up to families in need of safe, decent and affordable housing. The organization has served over 360 area families since its founding in 1988. The program keeps homes affordable through the use of volunteer labor and affordable mortgages, allowing applicants to become first-time homeowners who wouldn't typically qualify for conventional financing.

Partnership Model: Qualified applicants become full partners in the work of building or rehabilitating their future homes with Habitat sponsors, volunteers and other community stakeholders. Families who successfully complete the program partner with Habitat to extend the blessing to future program participants by making on-time monthly mortgage/loan payments to the revolving Fund for Humanity.

Eligibility Requirements

Housing Need:

Applicant must have a demonstrated need for housing

Need is established based on factors including condition of current housing, space considerations, and cost burden

Income Requirements:

Applicant must have sufficient, stable and verifiable household income to support monthly mortgage payments

2025-26 Income Guidelines for Linn County:

- Family of 1: $21,350 - $56,950
- Family of 2: $24,400 - $65,050
- Family of 3: $27,450 - $73,200
- Family of 4: $32,150 - $81,300
- Family of 5: $37,650 - $87,850
- Family of 6: $43,150 - $94,350
- Family of 7: $48,650 - $100,850
- Family of 8: $54,150 - $107,350

2025-26 Income Guidelines for Benton County:

- Family of 1: $23,300 - $62,100
- Family of 2: $26,600 - $70,950
- Family of 3: $29,950 - $79,800
- Family of 4: $33,250 - $88,650
- Family of 5: $37,650 - $95,750
- Family of 6: $43,150 - $102,850
- Family of 7: $48,650 - $109,950
- Family of 8: $54,150 - $117,050

Credit and Employment:

Buyers must be credit-worthy and not have any outstanding judgments

Stable length of employment is defined as a minimum of one year in applicant's current job location

Partnership Commitment:

Applicant must demonstrate a willingness to partner

Partnership activity begins after approval of the application by the Board of Directors

Buyers must complete 300-400 hours of sweat equity

Participate in a series of classes ranging in topic from managing a monthly budget to maintaining a new home

Pre-Closing Requirements:

Families are required to have completed their sweat equity and classes

Made a $1,000 down payment

Pre-paid for one year's worth of homeowners insurance

All tenets of Habitat partnership and financial fitness must be maintained

Program Features

• First-time homeownership opportunities
• Affordable mortgages
• Volunteer labor reduces costs
• Sweat equity participation builds ownership commitment
• Financial literacy classes required
• Perpetual revolving Fund for Humanity model

Contact Information

Cedar Valley Habitat for Humanity

Address: 350 6th Ave SE, Cedar Rapids, IA 52401

Phone: 319.366.4485

Office Hours: Monday – Friday 9:00 a.m. to 5:00 p.m.

Non-Discrimination Policy

The federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status, age; because all or part of the applicant's income derives from any public assistance program; or because the applicant has exercised in good faith any right under the Consumer Trade Commission. Cedar Valley Habitat for Humanity is pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the nation.