Iowa process · seller view

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

Selling a home in Iowa involves a written Chapter 558A property condition disclosure, an abstract-and-opinion title workflow that's unusual to Iowa, and a state transfer tax the seller typically pays.

Reading as seller. Switch to buyer

Phase 1 of 7 · typically 2-6 weeks

Pre-Offer (Prep and List)

Pick a listing agent, complete Iowa's required property disclosure, gather title and mortgage documents, and put the home on the market.

  1. Interview and hire a listing agent

    YouBefore listing the home

    Talk to 2-3 listing agents about marketing plans, pricing strategy, and commission. Iowa licensees must hand you a written agency disclosure form before any substantive conversation about your bottom-line price or motivation to sell. Make sure you understand which agency type each agent is offering — single agent, designated agent, or transaction broker — because the duties they owe you differ.

    Cost: $0

  2. Sign the listing agreement

    Your agentBefore the home goes on the market

    This contract spells out the listing price, length of the listing, what your agent will do, and how they get paid. Under the NAR settlement effective August 17, 2024, your listing agent's compensation and any compensation you choose to offer to a buyer's agent must be disclosed in writing.

    You'll need

    • Photo ID
    • Mortgage payoff statement
    • Property tax statement

    Cost: $0

  3. Fill out the Iowa property condition disclosure

    YouBefore going on the market

    Iowa Code Chapter 558A requires you to give buyers a written Disclosure of Property Condition before or at the time the purchase contract is signed. You disclose what you know about the roof, plumbing, electrical, HVAC, water source, structure, environmental hazards, zoning, legal actions, and any known material defects. Missing the deadline or hiding known problems gives the buyer the right to cancel.

    You'll need

    • Iowa Chapter 558A disclosure form

    Cost: $0

  4. Disclose known flood, radon, or meth-lab history

    YouWhen completing the disclosure form

    On the Iowa 558A disclosure form, report any known flood damage, prior flood insurance claims, current FEMA flood zone designation, radon test results you have, and any history of methamphetamine production at the property. After the 2008 Iowa floods, hiding a known flood claim is treated as a material omission, and meth-lab history is a specific environmental hazard buyers are entitled to know.

    You'll need

    • FEMA flood map for the address
    • Past radon test results (if any)
    • Insurance claim records

    Cost: $0

  5. Locate and update your abstract of title

    Escrow / titleEarly in the listing process

    Iowa is one of the few states that still uses the abstract-and-opinion method alongside title insurance. An abstract is a chronological summary of every recorded instrument on your property, prepared by a licensed Iowa abstractor. Find your existing abstract (often held by your prior closer or lender) and arrange to have it updated through the current date — closing can be delayed for weeks if no one starts this early.

    You'll need

    • Existing abstract
    • Prior owner's title policy (if any)

    Cost: $150-500 typical

  6. Prepare the home and list on the MLS

    Your agentOnce disclosures and pricing are ready

    Declutter, clean, and stage the home, then your agent will put it on the local MLS with photos, descriptions, and pricing. Post-NAR settlement, buyer-agent compensation is no longer allowed inside MLS fields, but your agent can still advertise seller concessions in the listing remarks if you choose to offer them.

    Cost: $0-500 for staging and photos

Phase 2 of 7 · typically Days to a few weeks

Offer (Receive and Negotiate)

Review buyer offers, negotiate price and terms, decide on buyer-agent compensation, and sign a written purchase agreement.

  1. Review each offer with your agent

    Your agentAs offers come in

    Look at the offer price, earnest money amount, financing type, contingencies (inspection, appraisal, financing), proposed closing date, and any requests for repairs or seller concessions. The highest price isn't always the best offer — a cash buyer with no contingencies can be stronger than a higher-priced financed offer that may fall through at appraisal.

    You'll need

    • Offer documents

    Cost: $0

  2. Verify the buyer's pre-approval or proof of funds

    Your agentBefore signing the offer

    Before accepting any offer, look at the buyer's mortgage pre-approval letter, or for cash offers, a recent bank statement showing the funds. A weak pre-approval is one of the most common reasons deals collapse, so your agent should call the buyer's lender to confirm the pre-approval is real and current.

    You'll need

    • Buyer's pre-approval letter or proof of funds

    Cost: $0

  3. Decide whether to offer compensation to the buyer's agent

    YouWhen reviewing each offer

    Since the NAR settlement on August 17, 2024, buyer-agent compensation cannot be offered inside the MLS. Buyers commonly ask you in their offer to cover their agent's fee through a seller concession in the purchase contract. You can accept, counter, or decline — it's negotiable like any other term, and Iowa licensees must disclose the source and amount of all compensation in writing.

    Cost: varies

  4. Counter or accept the offer

    Your agentWithin a few days of receiving the offer

    If the offer needs changes, your agent will prepare a written counter-offer with the new price, dates, or terms. Once both sides sign the same version, you have a binding Iowa purchase agreement. Don't agree to anything verbally — Iowa real estate contracts must be in writing and signed by all parties to be enforceable.

    You'll need

    • Counter-offer form
    • Signed purchase agreement

    Cost: $0

  5. Deliver the federal lead-paint disclosure if the home was built before 1978

    YouBefore the buyer signs the purchase agreement

    Federal law requires you to give the buyer the EPA-approved pamphlet 'Protect Your Family From Lead in Your Home,' disclose any known lead-based paint, share any lead reports you have, and give the buyer a 10-day window to test for lead before they are obligated under the contract. This federal rule applies in every state, including Iowa, and the parties can agree to shorten or waive only the 10-day inspection period itself.

    You'll need

    • EPA lead-paint disclosure form
    • EPA pamphlet
    • Any prior lead reports

    Cost: $0

  6. Provide condo or HOA documents if the home is in an association

    YouBefore or right after the buyer signs the contract

    If you're selling a condo, Iowa Code Chapter 499B requires that the buyer receive the declaration, bylaws, rules, current budget, reserve fund information, and any pending special assessments. Order these from the association early — many associations charge a resale-disclosure fee and need 10 or more days to produce a complete packet.

    You'll need

    • Declaration
    • Bylaws
    • Current budget
    • Reserve study
    • Assessment statements

    Cost: $100-400 typical

Phase 3 of 7 · typically 1-2 weeks

Under Contract (Open Title)

Get earnest money into the brokerage trust account, open title, clear up any liens on the abstract, and handle FIRPTA paperwork if you're a foreign seller.

  1. Confirm earnest money is in the brokerage trust account

    Your agentWithin 5 business days of acceptance

    Iowa rules require the listing brokerage to deposit the buyer's earnest money into its trust account at an FDIC-insured Iowa bank within 5 business days of the fully signed purchase agreement. Ask your agent for written confirmation — earnest money still sitting in a buyer's pocket isn't really protecting your deal.

    You'll need

    • Earnest money receipt

    Cost: $0

  2. Open the title file and update the abstract

    Escrow / titleWithin a week of going under contract

    Your agent or the buyer's agent will send the signed contract to a title company. In most Iowa transactions, the title company will request your existing abstract, have a licensed Iowa abstractor update it with all new recorded entries, and forward it to the buyer's attorney for an opinion of title.

    You'll need

    • Existing abstract
    • Signed purchase agreement

    Cost: $150-500 typical

  3. Clear any title problems flagged on the abstract

    YouAs soon as title objections are raised

    If the buyer's attorney points out judgments, old liens, unsatisfied mortgages, easement issues, or boundary problems, you'll need to resolve them before closing. Some are quick (a lien release from a paid-off creditor); others (probate gaps, missing heirs, divorce decrees) can take weeks. Your closing date often depends on how fast you respond.

    You'll need

    • Lien releases
    • Court orders
    • Recorded deeds
    • Affidavits

    Cost: varies

  4. Plan for FIRPTA withholding if you are a foreign seller

    Escrow / titleAs soon as the contract is signed

    If you're not a U.S. citizen or resident alien for tax purposes, the federal Foreign Investment in Real Property Tax Act normally requires the buyer (through the closing agent) to withhold 15% of the gross sales price and send it to the IRS. A reduced 10% rate may apply if the buyer is using the home as a primary residence at a price between $300,001 and $1,000,000. Talk to your tax professional about applying for a withholding certificate to reduce the amount.

    You'll need

    • Foreign status documentation
    • U.S. taxpayer ID

    Cost: Withheld from sale proceeds

Phase 4 of 7 · typically 1-2 weeks

Inspection

Allow the buyer's inspectors access, respond to repair requests, complete agreed-upon repairs, and share environmental test results.

  1. Let the buyer's home inspector access the property

    YouWithin the buyer's contractual inspection window

    Plan to leave the house for 2-4 hours so the inspector can move freely. Make sure attic and crawlspace hatches are accessible, utilities are on, pilot lights are lit, and pets are secured. The inspector will check structure, roof, plumbing, electrical, HVAC, and major appliances and produce a detailed report for the buyer.

    Cost: $0

  2. Respond to the buyer's repair or credit requests

    YouWithin a few days of receiving the request

    After the inspection, the buyer can request repairs, a price reduction, or a closing credit. You can agree, partially agree, propose alternatives, or refuse. If you refuse and the buyer's contract gives them inspection contingency rights, they can walk away with their earnest money back, so weigh each item against the risk of losing the deal.

    You'll need

    • Inspection report
    • Repair request addendum

    Cost: varies

  3. Complete the agreed-upon repairs

    YouBefore the final walk-through

    Hire licensed contractors for anything that requires permits (electrical, plumbing, HVAC, roofing). Keep all receipts and invoices — the buyer's agent will likely ask for proof at the final walk-through. DIY fixes on items that should have been permitted can blow up the deal at the last minute.

    You'll need

    • Contractor invoices
    • Permit copies

    Cost: varies

  4. Share radon or other environmental test results

    YouAfter radon testing is completed

    Iowa has elevated radon risk statewide, so most buyers test for it. If the result is high, the buyer may request mitigation or a credit; mitigation systems typically cost $800-2,000. If you already had radon results in hand, Iowa Chapter 558A required you to disclose them on the property condition form, so hand them over now if you haven't yet.

    You'll need

    • Radon test report

    Cost: $0 to share; $800-2,000 if mitigation requested

Phase 5 of 7 · typically 2-4 weeks

Loan and Appraisal

Allow the appraiser into the home, decide how to handle a low appraisal, and confirm the buyer's lender clears the loan to close.

  1. Schedule access for the buyer's appraiser

    YouWithin 2-3 weeks of contract acceptance

    The buyer's lender will order an appraisal to confirm the home is worth at least the contract price. Make the home look its best, leave a list of recent upgrades and their costs, and give the appraiser room to work for about 30-45 minutes. A clean, presentable home does not change the appraised value, but a chaotic one can affect how the appraiser writes the report.

    You'll need

    • List of recent improvements and costs

    Cost: $0

  2. Decide how to handle a low appraisal

    Your agentWithin days of receiving a low appraisal

    If the appraisal comes in below the contract price, the buyer's loan amount may not cover the agreed price. Your options are: lower the price to the appraised value, split the gap with the buyer, request a reconsideration with extra comparable sales, or refuse and risk the buyer walking. Most Iowa purchase agreements include an appraisal contingency that gives the buyer a clean exit if the gap can't be bridged.

    You'll need

    • Appraisal report
    • Comparable sales

    Cost: varies

  3. Confirm the buyer's loan is cleared to close

    Your agentAbout 5-7 days before closing

    About a week before closing, your agent should get written confirmation from the buyer's lender that the loan is approved and ready to fund. If the lender is still asking the buyer for documents two days before closing, expect a delay — push your agent for an updated timeline so you don't pack a moving truck for the wrong day.

    You'll need

    • Clear-to-close confirmation

    Cost: $0

Phase 6 of 7 · typically 1 week

Pre-Closing

Review the settlement statement, calculate Iowa transfer tax, allow the final walk-through, transfer utilities, and gather everything you'll hand off to the buyer.

  1. Review your settlement statement before closing

    Escrow / title1-2 days before closing

    A day or two before closing, the title company will send you a settlement statement showing every credit and debit: sale price, mortgage payoff, prorated property taxes, transfer tax, agent commissions, and your net proceeds. Most Iowa closings are handled by a licensed title company rather than an attorney. Read every line and ask the closer to explain anything unclear.

    You'll need

    • Settlement statement (ALTA or HUD-style)

    Cost: $0

  2. Understand your Iowa real estate transfer tax

    Escrow / titleCalculated for closing

    Iowa Code §428A.1 charges $1.60 per $1,000 of consideration above the first $500. Iowa Code §428A.2 makes the seller (grantor) primarily responsible for paying this at closing, though the parties can negotiate who pays. For a $250,000 sale, the tax is about $399.20 — the first $500 isn't taxed, so it's calculated on $249,500.

    Cost: $1.60 per $1,000 of sale price above $500

  3. Allow the buyer's final walk-through

    You1-2 days before closing

    Within 24-48 hours of closing, the buyer will walk through one last time to confirm the home is in agreed-upon condition, agreed repairs are completed, and nothing was damaged during your move-out. Leave the place broom-clean and the lights on so the buyer can actually see what they're inspecting.

    Cost: $0

  4. Cancel or transfer utilities and homeowner's insurance

    YouAbout a week before closing

    Call your electric, gas, water, trash, internet, and homeowner's insurance providers and set them to end on the closing date (don't shut off early — appraisals, inspections, and walk-throughs all need working utilities). Keep your homeowner's insurance in force through the closing date in case something happens at the last minute.

    You'll need

    • Utility account numbers
    • Insurance policy number

    Cost: $0

  5. Gather keys, garage remotes, and manuals for the buyer

    YouBefore closing day

    Collect every key to the house, garage door remotes, mailbox keys, alarm codes, pool and HVAC manuals, and any warranties on appliances or the roof. Many sellers leave a folder on the kitchen counter labeled with the buyer's name; the title company can also hold these and hand them over at closing if you prefer.

    You'll need

    • All keys
    • Garage remotes
    • Alarm codes
    • Appliance manuals and warranties

    Cost: $0

Phase 7 of 7 · typically 1 day

Closing

Sign the deed, pay off your mortgage, pay the Iowa transfer tax, receive your net proceeds, and hand over possession.

  1. Attend closing and sign the deed

    Escrow / titleOn the closing date

    Iowa doesn't require an attorney at closing — most residential closings are handled by a licensed title company closer. You'll sign the deed transferring ownership, any required affidavits, and the settlement statement. Bring a government-issued photo ID; the closer will notarize your signature on the deed before it's recorded with the county recorder.

    You'll need

    • Government-issued photo ID
    • Wire instructions for proceeds

    Cost: $0

  2. Pay off your existing mortgage from sale proceeds

    Escrow / titleAt closing

    The title company will send your mortgage payoff directly to your lender from the buyer's funds. Make sure your agent confirmed an up-to-date payoff amount within 48 hours of closing — interest accrues daily, and a stale payoff number can leave a small balance behind that comes back to haunt your title later.

    You'll need

    • Mortgage payoff statement

    Cost: Paid from proceeds

  3. Pay Iowa real estate transfer tax at closing

    Escrow / titleAt closing and deed recording

    The title company calculates the transfer tax ($1.60 per $1,000 of consideration above $500 under Iowa Code §428A.1), deducts it from your sale proceeds, and pays it to the county recorder when the deed is recorded. You'll see it itemized on the settlement statement, and the recorded deed shows the stamps that prove the tax was paid.

    Cost: $1.60 per $1,000 of sale price above $500

  4. Receive your net proceeds

    Escrow / titleSame day or next day after closing

    Once the deed is signed, the buyer's funds clear, and your mortgage is paid off, the title company will wire your net proceeds to your bank account or hand you a cashier's check. Wire is faster and safer — confirm wire instructions verbally with the title company using a phone number you look up yourself, never one in an email, because wire fraud at closing is a common scam.

    You'll need

    • Verified wire instructions
    • Photo ID

    Cost: $0

  5. Hand over keys and possession

    YouOn or shortly after closing

    Once closing funds and the deed is recorded, the home belongs to the buyer. Drop off (or leave at the title company) all keys, remotes, codes, and manuals. If your contract grants you a few days of post-closing possession, mark the move-out date on your calendar and stick to it — staying past the agreed date can trigger daily holdover fees.

    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 Chapter 428A — Real Estate Transfer Tax
  5. [5] Iowa Real Estate Commission — Closing Costs Overview
  6. [6] NAR Settlement FAQs — MLS Compensation Changes
  7. [7] Iowa Code Chapter 9A — Abstractors
  8. [8] Iowa Real Estate Commission — Title Practice Guidance
  9. [9] IRS FIRPTA Withholding — Foreign Investment in Real Property Tax Act
  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] EPA Radon Zone Map and Iowa Risk Classification
  19. [19] Iowa Code Chapter 9A — Abstractors and Title Practice
  20. [20] Iowa Real Estate Commission — Closing Practice Guidance
  21. [21] Iowa Code §543B.56 — Disclosure Required
  22. [22] Iowa Administrative Code 193E — Agency Relationships
  23. [23] Iowa Code Chapter 558A — Disclosure of Property Conditions
  24. [24] Iowa Real Estate Commission — Contract and Transaction Requirements
  25. [25] Iowa Administrative Code 193E — Trust Account Rules

Last updated May 15, 2026