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State rental and mortgage assistance program estimated to help around 6,500

The Iowa Finance Authority estimates that 20,000 applications will be received and that the funds will assist around 6,500 people.

IOWA, USA — Gov. Kim Reynolds' press conference from May 26, 2020 on the latest reopening details and financial help for homeowners and renters can be viewed above.

A breakdown of the COVID-19 Iowa Eviction and Foreclosure Prevention Program shows the Iowa Finance Authority estimates about 6,500 people will be assisted. 

The Legislative Services Agency (LSA) document says the federal CARES Act provided Iowa with $1.25 billion for COVID-19 expenses. Gov. Kim Reynolds allocated $22 million for the program, which is coordinated by the Iowa Finance Authority (IFA).

The IFA will use $20 million of the funding for awards and the other $2 million for "external administrative purposes." The government organization estimates that 20,000 applications will be received and that the funds will help around 6,500 people.

Funds will go directly to the landlord or mortgage provider. The program will operate until those funds have been completely exhausted, and awards will be dispersed on a first come, first serve basis.

This program is designed to give assistance to those who need it during the coronavirus pandemic

Rental assistance includes rent payments beginning April 1, 2020 for up to four months and a maximum of $3,200 maximum.

Mortgage payment assistance includes mortgage payments beginning April 1, 2020 and a maximum of $3,000 maximum.

RELATED: Iowa launches program to assist renters, homeowners struggling with housing payments

There are several eligibility requirements one must have in order to receive any assistance:

  • Be a current renter or homeowner
  • As risk of eviction or foreclosure due to a documented COVID-19-related loss of income (either job loss or reduction in employment hours and/or pay) on or after March 17, 2020.
  • Household income not exceeding 80.0% of the median family income (MFI) for the applicant’s county of residence at the time of application.
    • Not currently receiving Federal Pandemic Unemployment Compensation (FPUC) Program assistance, the $600 additional monthly federal Coronavirus Aid, Relief, and Economic Security (CARES) Act (H.R. 748) stimulus unemployment benefit.
    • Can show pay stub or other appropriate documentation prior to and after loss of income.
    • Can show latest mortgage statement (for mortgage payment assistance only).

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