Democrat Rob Sand says if he’s elected governor, he’ll pursue initiatives to speed up the permit process for home builders and to help first-time homebuyers.
The Iowa Finance Authority awards $2500 grants to eligible first time homebuyers to cover downpayment and closing costs, but the money comes in the form of a second mortage — with interest. Sand said that assistance should be interest-free. “The problem is there’s a bunch of people who might be on the verge of buying and then as interest rates increase all of sudden they’re priced out of the market,” Sand said. “We could have a little bit more stability in that to prevent that with some assistance from the state to make sure that people can be here and build here.”
The Finance Authority also awards grants to support housing construction, but Sand said the required inspections don’t necessarily happen at the same time as inspections required by Iowa cities. “At every point along the way as you’re building you’re sitting around and waiting for someone from the Iowa Finance Authority to come in and inspect, and then you hit another point and you’re waiting for a municipal inspector to come in and inspect,” Sand said. “All of this delays construction, it adds expense and it adds complication to the process.” Sand said it makes sense to give one inspector authority to go through the check list required under a city code and required by the Iowa Finance Authority at the same time.
During a news conerence this morning, Sand told reporters he’d work with lawmakers to review the state building code to identify other stumbling blocks that are delaying and adding to the cost of building homes. A 2025 state law gives Iowans the right to build a second housing unit on the same property as their primary residence, but Sand says there’s more work to do because of local zoning ordinances. “If we want it to be available, then I think we need to say, ‘OK, this really has to be available,'” Sand said. “It can’t just be something where you say technically you can do it, but you’re throwing up enough red tape and enough restrictions that almost no one can actually do it.”
Sand made his comments after touring a 44-unit building in Des Moines for elderly Iowans and Iowans with a disability who have an annual income below $24,000. The property is managed by Community Housing Initiatives, a statewide non-profit, and rent is capped at 30% of a resident’s monthly income.