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2025 FHA Loan Limits in Iowa

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The state of Iowa has experienced rapid population growth, which has impacted the housing market. Despite rising housing prices, a mortgage backed by the Federal Housing Administration (FHA) can make your goal of homeownership more attainable, allowing you to buy a home with as little as 3.5% as a down payment.

FHA loans do have borrowing limits depending on the type of property purchased. In Iowa, the FHA loan limit is consistent across all 99 counties: $524,225 for a single-family and $1,008,300 for a four-unit property. For those shopping in the Hawkeye state, those limits should be sufficient; according to Attom Data Solutions, the median home price for single-family properties in Iowa was $223,000 as of late 2024.

Iowa FHA loan limits by county

County name	One unit	Two units	Three units	Four units	Median sales price
ADAIR	$524,225	$671,200	$811,275	$1,008,300	$75,000
ADAMS	$524,225	$671,200	$811,275	$1,008,300	$82,000
ALLAMAKEE	$524,225	$671,200	$811,275	$1,008,300	$144,000
APPANOOSE	$524,225	$671,200	$811,275	$1,008,300	$84,000
AUDUBON	$524,225	$671,200	$811,275	$1,008,300	$85,000
BENTON	$524,225	$671,200	$811,275	$1,008,300	$207,000
BLACK HAWK	$524,225	$671,200	$811,275	$1,008,300	$191,000
BOONE	$524,225	$671,200	$811,275	$1,008,300	$260,000
BREMER	$524,225	$671,200	$811,275	$1,008,300	$191,000
BUCHANAN	$524,225	$671,200	$811,275	$1,008,300	$166,000
BUENA VISTA	$524,225	$671,200	$811,275	$1,008,300	$162,000
BUTLER	$524,225	$671,200	$811,275	$1,008,300	$138,000
CALHOUN	$524,225	$671,200	$811,275	$1,008,300	$106,000
CARROLL	$524,225	$671,200	$811,275	$1,008,300	$150,000
CASS	$524,225	$671,200	$811,275	$1,008,300	$107,000
CEDAR	$524,225	$671,200	$811,275	$1,008,300	$185,000
CERRO GORDO	$524,225	$671,200	$811,275	$1,008,300	$155,000
CHEROKEE	$524,225	$671,200	$811,275	$1,008,300	$126,000
CHICKASAW	$524,225	$671,200	$811,275	$1,008,300	$120,000
CLARKE	$524,225	$671,200	$811,275	$1,008,300	$125,000
CLAY	$524,225	$671,200	$811,275	$1,008,300	$160,000
CLAYTON	$524,225	$671,200	$811,275	$1,008,300	$113,000
CLINTON	$524,225	$671,200	$811,275	$1,008,300	$118,000
CRAWFORD	$524,225	$671,200	$811,275	$1,008,300	$128,000
DALLAS	$524,225	$671,200	$811,275	$1,008,300	$345,000
DAVIS	$524,225	$671,200	$811,275	$1,008,300	$125,000
DECATUR	$524,225	$671,200	$811,275	$1,008,300	$64,000
DELAWARE	$524,225	$671,200	$811,275	$1,008,300	$180,000
DES MOINES	$524,225	$671,200	$811,275	$1,008,300	$131,000
DICKINSON	$524,225	$671,200	$811,275	$1,008,300	$320,000
DUBUQUE	$524,225	$671,200	$811,275	$1,008,300	$215,000
EMMET	$524,225	$671,200	$811,275	$1,008,300	$104,000
FAYETTE	$524,225	$671,200	$811,275	$1,008,300	$98,000
FLOYD	$524,225	$671,200	$811,275	$1,008,300	$115,000
FRANKLIN	$524,225	$671,200	$811,275	$1,008,300	$108,000
FREMONT	$524,225	$671,200	$811,275	$1,008,300	$122,000
GREENE	$524,225	$671,200	$811,275	$1,008,300	$106,000
GRUNDY	$524,225	$671,200	$811,275	$1,008,300	$191,000
GUTHRIE	$524,225	$671,200	$811,275	$1,008,300	$345,000
HAMILTON	$524,225	$671,200	$811,275	$1,008,300	$125,000
HANCOCK	$524,225	$671,200	$811,275	$1,008,300	$115,000
HARDIN	$524,225	$671,200	$811,275	$1,008,300	$93,000
HARRISON	$524,225	$671,200	$811,275	$1,008,300	$335,000
HENRY	$524,225	$671,200	$811,275	$1,008,300	$135,000
HOWARD	$524,225	$671,200	$811,275	$1,008,300	$126,000
HUMBOLDT	$524,225	$671,200	$811,275	$1,008,300	$120,000
IDA	$524,225	$671,200	$811,275	$1,008,300	$90,000
IOWA	$524,225	$671,200	$811,275	$1,008,300	$154,000
JACKSON	$524,225	$671,200	$811,275	$1,008,300	$132,000
JASPER	$524,225	$671,200	$811,275	$1,008,300	$345,000
JEFFERSON	$524,225	$671,200	$811,275	$1,008,300	$143,000
JOHNSON	$524,225	$671,200	$811,275	$1,008,300	$330,000
JONES	$524,225	$671,200	$811,275	$1,008,300	$207,000
KEOKUK	$524,225	$671,200	$811,275	$1,008,300	$95,000
KOSSUTH	$524,225	$671,200	$811,275	$1,008,300	$110,000
LEE	$524,225	$671,200	$811,275	$1,008,300	$125,000
LINN	$524,225	$671,200	$811,275	$1,008,300	$207,000
LOUISA	$524,225	$671,200	$811,275	$1,008,300	$96,000
LUCAS	$524,225	$671,200	$811,275	$1,008,300	$120,000
LYON	$524,225	$671,200	$811,275	$1,008,300	$167,000
MADISON	$524,225	$671,200	$811,275	$1,008,300	$345,000
MAHASKA	$524,225	$671,200	$811,275	$1,008,300	$136,000
MARION	$524,225	$671,200	$811,275	$1,008,300	$200,000
MARSHALL	$524,225	$671,200	$811,275	$1,008,300	$125,000
MILLS	$524,225	$671,200	$811,275	$1,008,300	$335,000
MITCHELL	$524,225	$671,200	$811,275	$1,008,300	$164,000
MONONA	$524,225	$671,200	$811,275	$1,008,300	$80,000
MONROE	$524,225	$671,200	$811,275	$1,008,300	$96,000
MONTGOMERY	$524,225	$671,200	$811,275	$1,008,300	$85,000
MUSCATINE	$524,225	$671,200	$811,275	$1,008,300	$155,000
O'BRIEN	$524,225	$671,200	$811,275	$1,008,300	$135,000
OSCEOLA	$524,225	$671,200	$811,275	$1,008,300	$105,000
PAGE	$524,225	$671,200	$811,275	$1,008,300	$103,000
PALO ALTO	$524,225	$671,200	$811,275	$1,008,300	$119,000
PLYMOUTH	$524,225	$671,200	$811,275	$1,008,300	$200,000
POCAHONTAS	$524,225	$671,200	$811,275	$1,008,300	$75,000
POLK	$524,225	$671,200	$811,275	$1,008,300	$345,000
POTTAWATTAMIE	$524,225	$671,200	$811,275	$1,008,300	$335,000
POWESHIEK	$524,225	$671,200	$811,275	$1,008,300	$163,000
RINGGOLD	$524,225	$671,200	$811,275	$1,008,300	$98,000
SAC	$524,225	$671,200	$811,275	$1,008,300	$105,000
SCOTT	$524,225	$671,200	$811,275	$1,008,300	$215,000
SHELBY	$524,225	$671,200	$811,275	$1,008,300	$141,000
SIOUX	$524,225	$671,200	$811,275	$1,008,300	$225,000
STORY	$524,225	$671,200	$811,275	$1,008,300	$260,000
TAMA	$524,225	$671,200	$811,275	$1,008,300	$125,000
TAYLOR	$524,225	$671,200	$811,275	$1,008,300	$79,000
UNION	$524,225	$671,200	$811,275	$1,008,300	$97,000
VAN BUREN	$524,225	$671,200	$811,275	$1,008,300	$84,000
WAPELLO	$524,225	$671,200	$811,275	$1,008,300	$100,000
WARREN	$524,225	$671,200	$811,275	$1,008,300	$345,000
WASHINGTON	$524,225	$671,200	$811,275	$1,008,300	$330,000
WAYNE	$524,225	$671,200	$811,275	$1,008,300	$85,000
WEBSTER	$524,225	$671,200	$811,275	$1,008,300	$117,000
WINNEBAGO	$524,225	$671,200	$811,275	$1,008,300	$117,000
WINNESHIEK	$524,225	$671,200	$811,275	$1,008,300	$216,000
WOODBURY	$524,225	$671,200	$811,275	$1,008,300	$262,000
WORTH	$524,225	$671,200	$811,275	$1,008,300	$155,000
WRIGHT	$524,225	$671,200	$811,275	$1,008,300	$85,000

How are FHA loan limits determined?

FHA loan limits are based on two main factors, conforming loan limits and metropolitan statistical area (MSA) data.

The Federal Housing Finance Agency (FHFA) establishes limits for conventional mortgages — mortgages that aren’t affiliated with government programs — on an annual basis. The MSA provides details on location-specific pricing trends. Based on this information, the FHA sets “floor” and “ceiling” limits.

The floor, or the maximum loan amount for lower-cost areas, is calculated as 65% of the conforming loan limit, which is $806,500. For 2025, the floor is $524,225. The ceiling, or the maximum loan for higher-cost areas, is capped at 150% of the national conforming loan limit. For single-family homes, the ceiling is $1,209,750 in 2025.

Alaska, Hawaii, Guam and the U.S. Virgin Islands have even higher loan limits of $1,814,625 for a single-family home because they’re designated as special exception areas given the higher cost of construction.

How to qualify for an FHA loan in Iowa

Typically, you’ll need a down payment of at least 5% and good to excellent credit to qualify for a conventional loan, FHA loans make homeownership possible thanks to lower credit score and down payment requirements. Here is the criteria you need to meet for an FHA loan.

Minimum 500 credit score: To qualify for a FHA loan with the lowest-possible down payment of 3.5%, you need a credit score of 580 or better. Applicants with a credit score between 500 and 579 will need a down payment of 10%.
Minimum 3.5% down payment: With an FHA loan, the required down payment varies based on your credit score; depending on your score, the minimum down payment can be 3.5% or 10%. The typical sales price in Iowa is about $220,000, so you’ll need between $7,700 and $22,000 for a down payment.
Maximum 43% debt-to-income (DTI) ratio: The DTI ratio is how much of your earnings go toward your monthly debt payments, such as your car loan or personal loans. For FHA loans, the maximum DTI is 43%, and that maximum includes all of your fixed payments.
Mortgage insurance: As an FHA borrower, you need to have mortgage insurance for the duration of your loan. Mortgage insurance requires an upfront cost when you take out the loan, and you’ll also have to pay a monthly fee. The upfront cost is 1.75% of the loan amount, while the annual mortgage insurance premiums range from 0.15% to 0.75% of the loan amount and are rolled into your monthly mortgage payments.
Property type: Under FHA guidelines, homebuyers can only use FHA mortgages to purchase owner-occupied primary residences. The properties also have to undergo appraisals and inspections to ensure they meet standards set by the U.S. Department of Housing and Urban Development (HUD). If, during the inspection, the inspector identifies issues with the property’s condition, the seller will have to fix the property before the sale can close.

Buying a multifamily property with an FHA loan

Iowa has a lower-than-average cost of living, and one way to make homeownership even more affordable is through house hacking, the strategy of buying a multi-unit property and renting out another unit.

FHA loans are only for primary residences, not investment properties or vacation homes, but you can use an FHA loan for house hacking if you buy a multifamily property and live in one of the units. You can rent out the other units and use that income to cover some or all of your mortgage.

These are the criteria for FHA loans for multifamily properties:

A credit score of 500 or higher (580 or higher for the lowest down payment of 3.5%)
DTI of 43% or better
Mortgage insurance
Property meets HUD use and condition standards

The FHA loan limits for multifamily properties in Iowa in 2025 are: