Housing Rehabilitation Fund

Detail of an architectural model

Topics:

Community Development Programs
For Developers, Communities & Property Owners

The Housing Rehabilitation Fund leverages IEDA’s Upper Story Housing Conversion and Roofing Replacement programs to support communities in expanding and preserving quality housing options within their downtowns and established neighborhoods. Through the federal Community Development Block Grant (CDBG) Program, these initiatives help rehabilitate existing buildings, address critical housing needs, and create new residential units that contribute to long‑term community vitality. Upper story conversions bring underutilized commercial space back into productive use, strengthening local housing supply, while roofing replacement investments ensure the safety, durability, and continued habitability of existing homes. Together, these tools advance HUD’s community development objectives by improving living conditions, preventing deterioration, and supporting affordable, sustainable housing choices for low‑ and moderate‑income residents.

Back to top

Upper Story Rehabilitation Program

The Upper Story Housing Conversion Program aids with the conversion of existing downtown building space into new residential units. The maximum award under this program is 4 units at $100,000 per unit or a maximum $400,000 inclusive of administrative costs.

Eligibility

Projects must primarily benefit low- and moderate-income persons as defined by the U.S. Department of Housing and Urban Development.

Requirements

  • Environmental/Historic Review - yes
  • Procurement - yes
  • BABA – yes, if more than 4 units proposed and if the project cost is over $250,000 (Match & CDBG Funding)
  • Davis Bacon - yes, if scope is 8 + units
  • Lead-Based Paint - yes
  • Section 3 â€“ no, if doing 3 units or less. Yes, if doing more than 3.
  • URA – no, upper story should be vacant or unoccupiable to be eligible.
  • Radon Testing - yes

Application Process

  • Applications are competitive.
  • The 2026 application window will open May 26, 2026, and close July 26, 2026, at 11:59 pm.
  • Visit iowagrants.gov for application instructions and to apply for funds.
Back to top

Roofing Replacement Program

The Roofing Replacement program is an opportunity to assist communities in providing aid to Low-Moderate Income individual homeowners of Single-Family homes to replace roofing. This program is designed to assist low- and moderate-income households by addressing critical roofing deficiencies that threaten the health, safety, and long-term habitability of their homes. Funds may be used for rehabilitation of privately owned, single-unit residences meeting the CDBG Low/Moderate Income Housing (LMH) national objective.

Maximum award per project is $180,000, with no more than $30,000 per unit. 

Eligibility

Projects must primarily benefit low- and moderate-income persons as defined by the U.S. Department of Housing and Urban Development.

Requirements

  • Environmental/Historic Review - yes
  • Procurement - yes
  • BABA – yes, if more than 4 units proposed and if the project cost is over $250,000 (Match & CDBG Funding)
  • Davis Bacon â€“ yes, if scope is 8 + units
  • Lead-Based Paint - yes
  • Section 3 â€“ no
  • URA – yes
  • Radon Testing - yes

Application Process

  • Applications are competitive.
  • The 2026 application window is March 18, 2026 - May 22, 2026.
  • Visit iowagrants.gov for application instructions and to apply for funds.

Resources

Back to top