Read the full stored bill text
Senate
File
505
-
Introduced
SENATE
FILE
505
BY
BLAKE
,
BENNETT
,
WEINER
,
DOTZLER
,
DONAHUE
,
WINCKLER
,
ZIMMER
,
TOWNSEND
,
STAED
,
PETERSEN
,
QUIRMBACH
,
BISIGNANO
,
TRONE
GARRIOTT
,
and
KNOX
A
BILL
FOR
An
Act
codifying
a
firsthome
program
administered
by
the
Iowa
1
finance
authority.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
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505
Section
1.
NEW
SECTION
.
16.54A
Firsthome
program.
1
1.
For
the
purposes
of
this
section:
2
a.
“First-time
homebuyer”
means
any
of
the
following:
3
(1)
An
individual
who
has
not
owned
a
primary
residence
in
4
the
last
three
consecutive
years
immediately
prior
to
the
date
5
of
the
individual’s
application
for
the
firsthome
program.
6
(2)
A
member
of
the
military
who
has
not
previously
used
a
7
mortgage
revenue
bond
program
to
finance
a
home
purchase.
8
(3)
An
individual
who
is
purchasing
a
home
in
a
targeted
9
area
as
determined
by
the
authority.
10
b.
“Member
of
the
military”
means
any
of
the
following:
11
(1)
An
individual
who
has
served
ninety
days
active
duty
12
between
August
2,
1990,
and
April
6,
1991,
or
September
11,
13
2001,
to
the
date
of
application
for
the
firsthome
program.
14
The
ninety
days
of
active
duty
may
be
cumulative,
but
are
not
15
required
to
be
consecutive.
Inactive
duty
training,
annual
16
training,
and
active
duty
for
training
shall
not
count
toward
17
the
ninety
days.
18
(2)
An
individual
who
is
a
former
member
of
the
national
19
guard,
or
a
reserve
or
regular
component
of
the
armed
forces
of
20
the
United
States,
who
was
honorably
discharged
due
to
injuries
21
incurred
while
on
federal
active
duty
beginning
on
or
after
22
September
11,
2001,
or
during
the
period
of
the
Persian
Gulf
23
Conflict,
beginning
August
2,
1990,
and
ending
April
6,
1991,
24
that
precluded
completion
of
a
minimum
aggregate
of
ninety
days
25
of
federal
active
duty.
26
(3)
The
surviving
spouse
of
an
individual
under
27
subparagraph
(1)
or
(2).
28
c.
“Program”
means
the
firsthome
program
established
in
this
29
section.
30
d.
“Second
loan”
means
a
loan
that
is
up
to
a
certain
31
percentage
of
the
sale
price
of
a
home,
or
a
certain
fixed
32
dollar
amount,
that
must
be
repaid
when
the
home
is
sold,
33
refinanced,
or
the
first
mortgage
on
the
home
is
satisfied.
34
2.
The
firsthome
program
is
established
to
continue
the
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firsthome
program
administered
by
the
authority
to
provide
1
assistance
to
eligible
first-time
homebuyers.
The
firsthome
2
program
shall
be
administered
by
the
authority
and
shall
3
provide
down
payment
and
closing
cost
assistance
grants,
second
4
loans,
free
Iowa
title
guaranty
owner’s
certificates,
or
other
5
assistance
to
eligible
first-time
homebuyers.
6
3.
To
qualify
for
assistance
under
the
firsthome
program,
an
7
individual
must
meet
the
following
requirements:
8
a.
The
individual
must
be
a
first-time
homebuyer.
9
b.
The
individual’s
household
income
must
meet
the
10
eligibility
requirements
established
by
the
authority
by
rule.
11
c.
The
purchase
price
of
the
home
that
the
individual
wants
12
to
purchase
must
be
within
the
price
limits
established
by
the
13
authority
by
rule.
14
d.
The
individual
must
occupy
the
purchased
home
as
a
15
primary
residence
within
sixty
days
of
closing.
16
e.
The
individual
must
have
a
minimum
credit
score
of
six
17
hundred
forty.
If
an
individual
does
not
have
a
credit
score,
18
nontraditional
credit
documentation
may
be
submitted
to
the
19
authority
as
established
by
the
authority
by
rule.
20
f.
The
individual’s
debt-to-income
ratio
must
be
no
greater
21
than
forty-five
percent.
22
g.
The
individual,
if
applying
for
a
conventional
loan,
must
23
complete
homebuyer
education
as
established
by
the
authority
24
by
rule.
25
h.
The
individual
must
contact
an
Iowa
finance
authority
26
participating
lender.
27
4.
An
individual
must
submit
an
application
for
the
program
28
in
the
form
and
manner
as
established
by
the
authority
by
rule.
29
5.
An
individual
who
receives
assistance
under
the
30
firsthome
program
may
also
participate
in
other
loan
and
grant
31
programs
administered
by
the
authority
if
the
individual
32
qualifies
for
the
other
loan
or
grant
program.
33
6.
Assistance
provided
in
the
form
of
a
grant
to
an
34
individual
under
the
firsthome
program
shall
not
exceed
ten
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505
thousand
dollars.
1
7.
The
authority
shall
adopt
rules
pursuant
to
chapter
17A
2
as
necessary
to
implement
and
administer
this
section.
3
EXPLANATION
4
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
5
the
explanation’s
substance
by
the
members
of
the
general
assembly.
6
This
bill
codifies
the
firsthome
program
administered
by
7
the
Iowa
finance
authority
and
requires
that
the
program
8
be
administered
by
the
authority
to
provide
down
payment
9
and
closing
cost
assistance
grants,
second
loans,
free
Iowa
10
title
guaranty
owner’s
certificates,
or
other
assistance
to
11
eligible
first-time
homebuyers.
“First-time
homebuyer”
and
12
“second
loan”
are
defined
in
the
bill.
The
requirements
for
an
13
individual
to
qualify
for
the
program
are
detailed
in
the
bill.
14
The
maximum
assistance
that
may
be
provided
in
the
form
of
a
15
grant
to
an
individual
under
the
firsthome
program
is
$10,000.
16
The
Iowa
finance
authority
shall
adopt
rules
as
necessary
to
17
implement
and
administer
the
bill.
18
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