News : $30,000+ Grants Available in Anderson Creek Estates

Anderson Creek Estates is filling up fast as 13 of the original 33 lots available have been sold with strong interest on another 3-5. Projects of all types are underway including 10 lots set aside for low-to-moderate income households and providing them with 20% down-payment assistance in the form of a 5-year forgivable mortgage. This is similar to what the City of Palo received in 2010 that was a roaring success for kickstarting their recent housing expansion.

Homes would be built and sold for $175,000 (depending on grant funding totals). Homebuyers who meet the 80% or below Median Family Income limits for Benton County would be awarded $30,000+ (more grants funding could come available) to cover down-payment and closing costs. The end loan amount would be a maximum of $145,000. With rates as low as they have been in years this is a great value for a brand-new 1,200 square foot home.

The City of Vinton, East Central Iowa Council of Governments Benton County Housing Trust, and the development Trustees all worked together to make the grant possible to provide affordable housing. Lack of housing has been a significant challenge for area employers to attract and retain workers. Vinton's two largest employers (VSCSD and Virginia Gay) have an estimated 180+ employees living outside of town. Between two 500-year floods and two highly destructive wind events, the City of Vinton has lost significant rental housing the past 10 years as well. This has led to a sharp decrease in the district school population and qualified workers for area employers. New housing will allow existing renters/homeowners upward mobility options and free up rental units and starter home inventory.

While no individual bank or credit union financing will be required to apply for the grant, Cedar Valley Bank & Trust will finance each buyer with an in-house 30-year fixed-rate mortgage (not sold elsewhere). As a part of the loan process, Cedar Valley Bank and Trust will provide homebuyer education to applicants and assist them in applying for the down-payment grants. Cedar Valley Bank & Trust will even assist homebuyers who chose to use another institution for financing.

Below are two of the grant home designs. There may be a 3rd style available.