Iowa Awards $9M in Housing Tax Credits
The Iowa Finance Authority's board approved federal tax credits and bond financing to support 595 affordable rental homes across four communities.
Updated on Nov. 10, 2026 in Apartments
Live Poll
Should local governments use tax credits to build more affordable housing in your community?
The Iowa Finance Authority Board of Directors awarded nearly $9 million in federal housing tax credits and nearly $66 million in tax-exempt bond financing. The awards will support development of 595 affordable rental homes in four Iowa communities.
Why it matters
The awards add affordable rental supply across Iowa, with projects in Council Bluffs, Dubuque, Waterloo and West Des Moines. The authority's requests exceeded available funding, underscoring demand for affordable rental financing in the state.
The awards were made through the federal 4% Low-Income Housing Tax Credit program, with 240 apartments planned at Crescent Heights in Council Bluffs and 156 at Central at 8th in West Des Moines. The authority received six applications seeking more than $14 million in annual tax credits and nearly $104 million in tax-exempt bonds.
The players
Iowa Finance Authority
The state agency that finances affordable housing development in Iowa through federal tax credits and tax-exempt bonds.
The details
Two projects involve new construction, Crescent Heights in Council Bluffs and Central at 8th in West Des Moines. The Wilmac in Dubuque and Rath Fifteen 15 in Waterloo convert existing buildings into 112 and 87 apartments respectively.
Timeline
November 9, 2026: The Iowa Finance Authority board announced the awards.
Industry Dynamics
The awards draw on the federal 4% Low-Income Housing Tax Credit program, which pairs tax credits with tax-exempt bond financing to fund affordable rental housing. The six applications requesting more than $14 million in credits show the program remains oversubscribed relative to the funds the authority awarded.
The awards will add 595 affordable rental homes across Council Bluffs, Dubuque, Waterloo and West Des Moines once the projects are built or renovated. Renters who qualify under the income limits for these developments will gain access to new affordable units.
The takeaway
Affordable rental development in Iowa relies on combining federal tax credits with bond financing, and renters interested in these projects should watch for lease-up announcements from the developers. The awards signal that new affordable units are moving forward in several mid-sized Iowa cities.
Further reading
For related coverage, see Apartments in Iowa.
Source note: This article includes information reported by Business Record.
Live Poll
Should local governments use tax credits to build more affordable housing in your community?
