Iowa process · buyer view

The Iowa Home-Buying Process: Your Step-by-Step Checklist

This checklist walks first-time Iowa home buyers through every major step from getting pre-approved to receiving the keys.

Reading as buyer. Switch to seller

Phase 1 of 7 · typically 2-8 weeks

Pre-Offer

Get your money lined up, sign the paperwork that lets an agent help you, and start touring homes. Most of this happens before you ever write an offer.

  1. Check your credit and set a savings goal

    You3-12 months before you start shopping

    Pull your credit reports for free at annualcreditreport.com and look for errors. Save up for a down payment, closing costs (often 2-4% of the price), and earnest money you will put down with your offer.

    Cost: $0

  2. Get pre-approved with 2-3 lenders

    LenderBefore you start touring homes

    A pre-approval letter tells sellers you can actually buy the house. Apply with at least two or three lenders within a 14-day window so the credit pulls only count as one hit, and compare the rate, fees, and monthly payment side by side.

    You'll need

    • W-2s (last 2 years)
    • Pay stubs (last 30 days)
    • Bank statements (last 2 months)
    • Tax returns (last 2 years)
    • Photo ID

    Cost: $0

  3. Interview and pick a buyer's agent

    YouBefore you tour homes with anyone

    Talk to two or three Iowa agents and ask how they get paid, how many buyers they work with, and what their plan is for your search. You want someone licensed in Iowa, responsive, and willing to explain the contract in plain English.

    Cost: $0

  4. Read and sign the Iowa agency disclosure

    Your agentAt your first real conversation with an agent

    Iowa law requires your agent to give you a written brokerage disclosure before they have any real talk with you about a property, price, or what you can afford. The form explains whether the agent represents you, the seller, or is acting as a neutral transaction broker.

    You'll need

    • Iowa brokerage disclosure form

    Cost: $0

  5. Sign a written buyer representation agreement

    Your agentBefore you tour any MLS-listed home

    Since August 17, 2024, the NAR settlement rules require a signed written buyer agreement before your agent can show you any home listed on the MLS. The agreement must spell out exactly how much your agent will be paid, either as a flat fee or a defined formula.

    You'll need

    • Buyer representation agreement

    Cost: varies

  6. Understand how your agent gets paid

    Your agentBefore signing the buyer agreement

    Your agent must set their own rate independently and tell you the source and amount of every dollar of compensation they will receive. In Iowa transactions, the buyer's agent fee can come from you, from a seller concession written into the offer, or in some cases from the listing brokerage.

    Cost: $0

  7. Tour homes and narrow your list

    Your agentAfter you have a buyer agreement signed

    Make a short list of must-haves like school district, commute, and number of bedrooms. Tour 5-10 homes in person before writing an offer so you know what your money buys in the neighborhoods you actually like.

    Cost: $0

Phase 2 of 7 · typically 1-7 days

Offer

Write a strong, signed offer with the right contingencies and earnest money, then negotiate until both sides agree.

  1. Review the Iowa purchase agreement before you sign

    Your agentBefore signing your offer

    Most Iowa agents use the Iowa Association of Realtors standard purchase agreement. Walk through every line with your agent — purchase price, earnest money, contingencies, closing date, what stays with the house, and any seller concessions you want.

    You'll need

    • Iowa residential purchase agreement

    Cost: $0

  2. Decide on your earnest money deposit

    YouWhen writing your offer

    Earnest money is the good-faith deposit you put down to show you are serious. In Iowa it is typically 1-2% of the price, and once the offer is accepted, the brokerage has five business days to deposit it into their trust account at an Iowa bank.

    Cost: 1-2% of price

  3. Include financing, inspection, and appraisal contingencies

    Your agentWhen writing your offer

    Contingencies are escape hatches that let you walk away and keep your earnest money if things go wrong. The three most important for Iowa buyers are a financing contingency, a home inspection contingency, and an appraisal contingency.

    Cost: $0

  4. Ask for a seller concession if needed

    Your agentWhen writing your offer

    Buyer-agent fees can no longer be posted in the MLS under the NAR settlement rules, so if you need help paying your agent or your closing costs, you can ask the seller to cover part of it as a concession written right into the offer.

    Cost: $0

  5. Submit the offer and negotiate counters

    Your agentWithin 1-3 days of writing the offer

    Your agent sends the signed offer to the listing side. The seller may accept, reject, or counter on price, closing date, repairs, or what is included. Keep talking with your agent and your lender until both sides sign the same final version.

    Cost: $0

Phase 3 of 7 · typically 3-10 days

Under Contract

The offer is signed by both sides. Now you collect the seller's disclosures, get earnest money deposited, and start title work.

  1. Deliver your earnest money to the brokerage

    YouWithin 5 business days of acceptance

    Once both sides sign, you have to get the earnest money to the listing or buyer brokerage so they can deposit it into their trust account within five business days of acceptance. Bring a personal check, cashier's check, or wire as the contract directs.

    You'll need

    • Cashier's check or wire confirmation

    Cost: 1-2% of price

  2. Read the Iowa property condition disclosure

    Seller's sideAt or before signing the purchase agreement

    Iowa Code Chapter 558A requires the seller to give you a written Disclosure of Property Condition statement at or before you sign the purchase agreement. It covers the roof, plumbing, electrical, heating and cooling, water, environmental hazards, and any known defects.

    You'll need

    • Iowa Chapter 558A property disclosure form

    Cost: $0

  3. Get lead-paint disclosures for pre-1978 homes

    Seller's sideBefore contract becomes binding (10-day test window)

    If the home was built before 1978, federal law gives you the EPA pamphlet "Protect Your Family From Lead in Your Home," any seller-known lead history, and a 10-day window to test for lead paint before you are locked into the contract.

    You'll need

    • Federal lead-based paint disclosure
    • EPA lead pamphlet

    Cost: $0

  4. Review condo or homeowners association documents

    Seller's sideFirst 1-2 weeks under contract

    If you are buying a condo, Iowa Code Chapter 499B (the Horizontal Property Act) entitles you to the declaration, bylaws, rules, current budget, reserve information, and any current or pending special assessments. Read these before your inspection deadline passes.

    You'll need

    • Declaration
    • Bylaws
    • Budget
    • Special assessment notices

    Cost: varies

  5. Open title work — abstract or title insurance

    Escrow / titleFirst 1-2 weeks under contract

    Iowa is one of the few states where the abstract-and-opinion method is still common alongside title insurance. The abstractor compiles every recorded document affecting the property, an attorney issues a title opinion, and you decide (with your lender) whether you also want title insurance.

    Cost: $300-1,200 typical

  6. Check the flood zone and flood history

    YouFirst 1-2 weeks under contract

    Iowa has seen major flooding along the Cedar, Iowa, and Missouri Rivers. Look up the property on the federal flood map service and ask the seller, on the Chapter 558A form, about any prior flood damage or insurance claims.

    Cost: $0

Phase 4 of 7 · typically 7-14 days

Inspection

Hire a pro to inspect the home and decide whether to ask for repairs, credits, or back out.

  1. Hire a home inspector

    InspectorWithin your inspection contingency window

    Pick a home inspector with strong reviews and ask for a sample report. They will check the structure, roof, plumbing, electrical, heating and cooling, attic, basement, and visible parts of the home for safety issues and major defects.

    Cost: $350-600 typical

  2. Show up at the inspection

    YouDay of inspection

    Plan to spend 2-3 hours at the home while the inspector works. Walking through with them is the fastest way to learn how the house actually runs and to see the problems with your own eyes instead of only in a written report.

    Cost: $0

  3. Order a radon test

    InspectorDuring inspection period

    Most of Iowa is in the highest federal radon risk zone, so testing is strongly recommended on every home. A short-term test takes 2-7 days and the result tells you whether you should ask the seller to install a mitigation system.

    Cost: $125-200 typical

  4. Ask about meth lab history

    YouDuring inspection period

    Iowa treats prior methamphetamine lab use as a material fact the seller must disclose on the Chapter 558A form. If anything on the disclosure or the inspection report hints at this, ask for state remediation records before moving forward.

    Cost: $0

  5. Read the inspection report carefully

    You1-2 days after inspection

    You usually get the full written report 1-2 days after the inspection. Sort findings into three buckets: safety and structure issues you must fix, items the seller should address, and small stuff you can take care of after closing.

    You'll need

    • Inspection report

    Cost: $0

  6. Negotiate repairs, credits, or walk away

    Your agentBefore inspection contingency expires

    Based on the inspection, your agent can request repairs, a price reduction, or a closing-cost credit. If the seller refuses and you have a valid inspection contingency, you can usually cancel the contract and get your earnest money back.

    Cost: $0

Phase 5 of 7 · typically 2-4 weeks

Loan & Appraisal

Lock your loan, get the home appraised, and clear underwriting so the lender can fund the purchase.

  1. Lock your interest rate

    LenderOnce inspection contingency is met

    A rate lock holds your interest rate for a set number of days (usually 30-60) so it cannot move up before closing. Talk with your lender about when to lock based on how far out your closing date is and where rates seem to be heading.

    Cost: $0

  2. Send all paperwork to underwriting

    YouFirst 1-2 weeks under contract

    Underwriting is where the lender double-checks your income, savings, debts, and credit. Respond to every document request within 24 hours and do not change jobs, run up credit cards, or open new accounts during this window.

    You'll need

    • Updated pay stubs
    • Updated bank statements
    • Gift letters if applicable
    • Explanations of any large deposits

    Cost: $0

  3. Pay for and schedule the appraisal

    LenderFirst 1-3 weeks under contract

    Your lender orders an appraisal to confirm the home is worth what you agreed to pay. The fee is usually charged to you up front, the appraiser visits the property, and the written report typically comes back in 1-2 weeks.

    Cost: $500-700 typical

  4. Have a plan if the appraisal comes in low

    Your agentWithin 3-5 days of getting the appraisal

    If the appraisal is lower than the purchase price, you have four options: ask the seller to drop the price, bring extra cash to cover the gap, challenge the appraisal with new comps, or use your appraisal contingency to walk away.

    Cost: $0

  5. Bind a homeowners insurance policy

    You2-3 weeks before closing

    Lenders require proof of homeowners insurance before they will fund your loan. Get quotes from three insurers, decide on coverage and deductible, and have the binder sent to your lender at least a week before closing.

    You'll need

    • Homeowners insurance binder
    • Receipt for first-year premium

    Cost: $900-1,800 per year typical

  6. Avoid new credit and big purchases

    YouFrom offer through closing day

    Lenders re-check your credit and bank statements right before closing. Do not open new credit cards, finance a car, or move large sums between accounts during this period — any of those can delay or even kill your loan.

    Cost: $0

Phase 6 of 7 · typically 5-10 days

Pre-Closing

Title is cleared, documents are reviewed, and you do a final walk-through before signing day.

  1. Review the abstract and attorney title opinion

    Attorney1-2 weeks before closing

    In Iowa, an abstractor brings the abstract up to date and an attorney issues a written opinion of title showing whether anything (liens, judgments, easements) clouds your ownership. Read the opinion and ask questions before signing day.

    You'll need

    • Updated abstract
    • Attorney title opinion

    Cost: $300-800 typical

  2. Review the Closing Disclosure 3 days before closing

    Lender3 business days before closing

    Federal law requires the lender to send you a Closing Disclosure at least three business days before closing. Compare every line — loan amount, rate, monthly payment, cash to close — against your most recent Loan Estimate and flag any surprises right away.

    You'll need

    • Closing Disclosure

    Cost: $0

  3. Wire your cash to close

    Escrow / titleDay before or morning of closing

    You will need to wire (or bring a cashier's check for) your down payment, closing costs, and prepaid items the day before or morning of closing. Call the title company at a phone number you already trust to confirm wire instructions — wire fraud is common.

    You'll need

    • Confirmed wire instructions

    Cost: varies

  4. Do the final walk-through

    Your agent24-48 hours before closing

    Within 24-48 hours before closing, walk through the home one more time with your agent. Check that any agreed repairs were done, the home is empty (or in the shape you negotiated), and every appliance, light, and faucet still works.

    You'll need

    • Repair receipts from seller
    • Inspection report

    Cost: $0

  5. Confirm insurance is active and set up utilities

    You1 week before closing

    Make sure your homeowners insurance policy is set to be in force the day of closing and call the utility companies to put gas, electric, water, and trash in your name starting that same day. Otherwise you could move in to a cold, dark house.

    Cost: varies

Phase 7 of 7 · typically 1-2 hours

Closing

Sign the documents, pay the closing costs, and walk out with the keys to your new Iowa home.

  1. Bring photo ID and proof of funds

    YouClosing day

    Show up at closing with a government-issued photo ID and either a wire confirmation or cashier's check for your cash to close. The title company will not let you sign without verifying who you are.

    You'll need

    • Photo ID
    • Wire confirmation or cashier's check

    Cost: $0

  2. Sign the loan and deed documents

    Escrow / titleClosing day

    Most Iowa closings are run by a title company closing officer, though some areas use a real estate attorney. You will sign the note, the mortgage, the deed acceptance, and several disclosures — expect about an hour of signing.

    You'll need

    • Promissory note
    • Mortgage
    • Deed
    • Closing Disclosure

    Cost: $0

  3. Pay your closing costs

    Escrow / titleClosing day

    Your closing costs cover lender fees, title charges, recording, prepaid taxes and insurance, and your share of any prorated items. Iowa's real estate transfer tax is $1.60 per $1,000 above the first $500 of price, and by statute it is primarily the seller's responsibility unless the contract says otherwise.

    You'll need

    • Closing Disclosure

    Cost: 2-4% of price typical

  4. Record the deed and mortgage with the county

    Escrow / titleClosing day or next business day

    After signing, the title company sends the deed and mortgage to the county recorder so the ownership change becomes public record. Recording usually happens the same day or the next business day and the recording fee is included in your closing costs.

    Cost: $30-100 typical

  5. Get the keys and take possession

    Seller's sideClosing day

    Once the funds have actually transferred and the deed is on its way to recording, you get the keys, garage door openers, and any pool, alarm, or appliance codes. Possession usually happens at closing unless the contract says otherwise.

    Cost: $0

  6. Save your closing packet for taxes and resale

    YouWithin 1 week after closing

    Keep a digital and paper copy of your Closing Disclosure, deed, mortgage, title opinion, and inspection report. You will need them for your tax return, future refinancing, and when you eventually sell the home.

    You'll need

    • Closing packet
    • Deed
    • Title opinion

    Cost: $0

Sources

  1. [1] NAR Settlement FAQs — Antitrust and Compensation Disclosure
  2. [2] Iowa Administrative Code 193E — Compensation Disclosure
  3. [3] NAR Settlement FAQs — Buyer Agreement Requirements
  4. [4] Iowa Code §543B.56 — Written Agency Requirements
  5. [5] Iowa Code Chapter 428A — Real Estate Transfer Tax
  6. [6] Iowa Real Estate Commission — Closing Costs Overview
  7. [7] NAR Settlement FAQs — MLS Compensation Changes
  8. [8] Iowa Code Chapter 9A — Abstractors
  9. [9] Iowa Real Estate Commission — Title Practice Guidance
  10. [10] FEMA Flood Map Service Center
  11. [11] Iowa Code Chapter 558A — Material Condition Disclosure
  12. [12] Iowa Code Chapter 499B — Horizontal Property Act
  13. [13] Iowa Code Chapter 558A — Property Condition Disclosure
  14. [14] EPA — Real Estate Disclosure for Lead-Based Paint
  15. [15] HUD Fair Housing and Lead Paint Disclosure
  16. [16] Iowa Code §455B.386 et seq. — Clandestine Drug Lab Remediation
  17. [17] Iowa Code Chapter 558A — Environmental Hazard Disclosure
  18. [18] Iowa Code Chapter 558A — Environmental Conditions Disclosure
  19. [19] EPA Radon Zone Map and Iowa Risk Classification
  20. [20] Iowa Code Chapter 9A — Abstractors and Title Practice
  21. [21] Iowa Real Estate Commission — Closing Practice Guidance
  22. [22] Iowa Code §543B.56 — Disclosure Required
  23. [23] Iowa Administrative Code 193E — Agency Disclosure Rules
  24. [24] Iowa Code Chapter 558A — Disclosure of Property Conditions
  25. [25] Iowa Real Estate Commission — Contract and Transaction Requirements
  26. [26] Iowa Administrative Code 193E — Trust Account Rules

Last updated May 15, 2026