Down Payment Path

Down Payment Assistance Programs in Nebraska

Nebraska provides several programs to help homebuyers with the upfront costs of purchasing a home. These initiatives are designed to make homeownership accessible to a broad range of buyers, including both first-time and repeat purchasers across the Cornhusker State.

NIFA Homebuyer Assistance (HBA) Program

The Nebraska Investment Finance Authority (NIFA) Homebuyer Assistance Program offers financial support for down payments and closing costs.

  • Provides up to 5% of the loan amount as a second mortgage.
  • Offered with a 10-year repayment term and a low fixed interest rate.
  • Pairs with NIFA's fixed-rate mortgage products, including FHA, VA, USDA, and conventional loans.
  • Open to buyers who meet income and purchase price requirements.

NIFA First Home Program

The First Home Program offers affordable mortgage options for buyers purchasing their primary residence.

  • Provides competitive fixed-rate loans.
  • Pairs with the NIFA Homebuyer Assistance Program for additional savings.
  • Income and purchase price limits apply, accommodating many buyers across the state.

USDA Rural Development Loans

For buyers in rural Nebraska, the USDA Rural Development Loan provides no down payment financing options.

  • Available to low- and moderate-income buyers in USDA-eligible rural areas.
  • Flexible credit requirements and competitive interest rates.
  • Can be combined with state or local assistance programs to cover closing costs.

Mortgage Credit Certificate (MCC)

The Mortgage Credit Certificate (MCC) program provides long-term savings for homebuyers by reducing their tax burden.

  • Allows buyers to claim a federal tax credit for a portion of their annual mortgage interest.
  • Can be paired with NIFA mortgage products and down payment assistance programs.
  • Income and purchase price limits apply, but the program accommodates a wide range of buyers.

Local Assistance Programs

Several cities and counties in Nebraska offer additional assistance to help buyers with down payments and closing costs.

  • Programs in areas like Omaha, Lincoln, and Grand Island provide grants or low-interest loans to assist homebuyers.
  • Some local initiatives offer targeted benefits for public service workers or buyers purchasing in specific revitalization neighborhoods.
  • Eligibility and funding levels vary by location.

Nebraska’s down payment assistance programs are designed to make homeownership more affordable by reducing upfront costs. Whether you’re purchasing your first home or upgrading, these resources can help you achieve your dream of owning a home in the Cornhusker State.