Iowa · IA

Iowa Mortgage Calculator

Pre-filled for Iowa: median home price $215,000, average property tax rate 1.43%. Adjust any slider to make it yours.

Iowa housing at a glance

Median home price: $215,000
Effective property tax rate: 1.43% / yr
Annual property tax (median home): $3,075
Est. monthly tax escrow: $256
State income tax: Yes

Sources: regional housing data 2025 (median price), state assessor averages 2024–2025 (tax rate).

Buying a home in Iowa

The median home price in Iowa is around $215,000 and the effective property tax rate averages 1.43%of assessed value per year. Most lenders look for a debt-to-income (DTI) ratio under 43%, meaning your total monthly debt payments (including this mortgage) shouldn't exceed 43% of your gross income.

A 20% down payment on the median home in Iowa is $43,000. Putting down at least 20% eliminates private mortgage insurance (PMI), which typically adds 0.3–1.5% of the loan amount per year to your monthly payment.

Transfer tax & closing costs in Iowa

Iowa charges a real estate transfer tax of $1.60 per $1,000 above $500 of the sale price (paid by seller).

Beyond transfer taxes, total closing costs in Iowatypically range from 2–5% of the purchase price — including lender origination fees, title insurance, appraisal, and prepaid interest. On the median home that's roughly $4,300–$10,750.

Foreclosure & legal context

Foreclosure type: Judicial (court-supervised)
Security instrument: Mortgage
Deficiency liability: Recourse

Iowa mortgage FAQ

What is the monthly mortgage payment for a median-priced home in Iowa?: At the current 30-year fixed rate of ~6.81%, a $215,000 home in Iowa with 20% down ($43,000) carries a principal-and-interest payment of ~$1,122/mo. Add property tax (~$256/mo at 1.43%) and homeowners insurance and your total is roughly $1,379/mo. Use the calculator above to adjust for your exact down payment and rate.
What is the property tax rate in Iowa?: The effective statewide property tax rate in Iowa averages 1.43% of assessed value per year. On a $215,000 home, that works out to roughly $3,075 per year ($256/mo). Individual county rates vary.
Does Iowa have a state income tax?: Yes, Iowa has a state income tax. This affects your net take-home pay and therefore your effective purchasing power — use our salary calculator to estimate what's left after tax.
What are the closing costs and transfer taxes in Iowa?: Iowa charges a real estate transfer tax of $1.60 per $1,000 above $500 of the sale price (paid by seller).
What type of foreclosure does Iowa use?: Iowa uses judicial foreclosure, meaning a lender must file a lawsuit and obtain a court judgment before selling a property.

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