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Community Development Block Grant Disaster Recovery

Community Development Block Grant Disaster Recovery (CDBG-DR) funding is helping to construct 32 new homes in Linn and Benton Counties, to replace housing that was damaged by the 2020 derecho. Homes are located in Atkins, Marion, Walker, and unincorporated Linn County, and are built to Iowa Green Streets standards to be more energy efficient and weather resilient.

Buyers must income qualify, and down payment assistance is available to help qualified buyers purchase these new homes. For the first four months, the first opportunity to purchase goes to applicants who were impacted by the derecho. Derecho impacts will be verified by self-certification and may include impacts to housing, employment, transportation, childcare, and health, as well as food loss and loss of power (see application for detailed list of possible derecho impacts that qualify).  

Need More Information?


Call ECICOG At (319)289-0071


  • Duplex units and single-family homes available. Construction types, unit sizes, and floor plans vary by builder and location. More information here (link).

  • Home purchase prices will not exceed $175,000.

  • Qualified homebuyers may be eligible for up to $35,000 in downpayment assistance.

  • To receive assistance, homebuyers must purchase one of the homes participating in this program. See available homes here (link).

  • Construction schedules will vary for each location.


The home purchased must be the buyer’s primary residence and not a second home or income property.

  • Buyer must continue to own and occupy the home as their primary residence for 15 years.

  • Buyer must obtain a fixed-rate mortgage with a term of at least 15 years or agree to resale covenants and restrictions.

  • Priority given to buyers who can certify they were impacted by the 2020 derecho.

  • Income limits apply: Must be at or below 80% Area Median Income for family size and county. Documentation for verification must be complete and will remain good for 12 months.

Additional Program Requirements:

  • If the home is sold during 15-year affordability term, it must be sold to another income-qualified buyer at an affordable purchase price, or assistance must be re-paid.

  • A 15-year forgivable mortgage will be filed to secure the occupancy/affordability term.

  • Forgivable mortgage will recede on a monthly basis until fully forgiven after 15 years.

How to Apply

  • Return COMPLETE and ACCURATE application to:

  • 700 16th Street NE, Suite 301

  • Cedar Rapids, IA52402

  • Provide income verification in a timely manner.                              

  • Obtain a mortgage preapproval letter from a qualified lender.

  • Secure a purchase agreement for a qualifying home from a participating builder.

  • Questions may be directed to: Paula Mitchell 

Complete applications with all required documents will be processed on a first come, first qualified basis.


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