Nebraska First Home Program Guide

Guide to the Nebraska First Home Program

The Nebraska First Home Program provides affordable mortgage options and down payment assistance to eligible first-time homebuyers. This program is designed to help individuals and families achieve the dream of homeownership by reducing financial barriers and offering competitive loan terms. Here’s a detailed guide to the program’s benefits, eligibility criteria, and how to apply for 2025.

1. Program Overview:

• Purpose: The Nebraska First Home Program is aimed at making homeownership more accessible by providing low-interest loans and financial assistance for upfront costs such as down payments and closing fees.
• Loan Terms: Buyers receive a 30-year fixed-rate mortgage, ensuring predictable monthly payments throughout the life of the loan. Interest rates are competitive and designed to help first-time buyers afford their homes.
• Down Payment Assistance: Eligible buyers can access financial assistance to cover part or all of their down payment and closing costs, reducing the amount of upfront cash required to purchase a home.

2. Eligibility Requirements for 2025:

To qualify for the Nebraska First Home Program, applicants must meet the following requirements:

• First-Time Homebuyer: Applicants must be first-time homebuyers, defined as individuals who have not owned a home in the past three years. Certain exceptions may apply for targeted areas or specific circumstances.
• Income Limits: Household income must fall within the program’s limits, which vary by county and household size. These limits are updated annually to ensure assistance reaches those who need it most.
• Purchase Price Limits: The home’s purchase price must not exceed program-specific limits, which vary by location and are adjusted yearly.
• Primary Residence: The home must be located in Nebraska and used as the buyer’s primary residence. Second homes and investment properties are not eligible.
• Homebuyer Education: Completion of a homebuyer education course is required to participate in the program. This course equips buyers with knowledge about budgeting, mortgage management, and the responsibilities of homeownership.

3. How to Apply:

The application process for the Nebraska First Home Program involves the following steps:

• Contact a Participating Lender: Begin by reaching out to a lender approved to offer the program. They will assess your eligibility and guide you through the process.
• Gather Required Documentation: Be prepared to provide documents such as proof of income, recent tax returns, credit reports, and a certificate from the homebuyer education course.
• Submit Your Application: Complete your application with the assistance of your lender and submit it along with the necessary documentation for review.

4. Program Benefits:

• Affordable Financing: Competitive fixed interest rates make homeownership more manageable for first-time buyers.
• Reduced Upfront Costs: Down payment and closing cost assistance lowers the financial barriers to purchasing a home.
• Predictable Payments: A 30-year fixed-rate mortgage provides stability and predictability in monthly payments.

5. Down Payment Assistance Details:

• Assistance Amount: Buyers may receive a specific percentage of the home’s purchase price or a flat amount to cover down payment and closing costs. The exact amount depends on program guidelines and the applicant’s financial situation.
• Repayment Terms: Assistance is often provided as a deferred loan, meaning no payments are required until the home is sold, refinanced, or no longer serves as the borrower’s primary residence.

6. Additional Considerations:

• Combination with Other Programs: The Nebraska First Home Program can often be combined with other state and federal assistance programs to maximize financial benefits.
• Program Fees: Some fees may apply during the application process, which your lender will disclose in detail.

The Nebraska First Home Program offers an excellent opportunity for eligible first-time homebuyers to achieve their dream of homeownership in 2025. By providing financial assistance and affordable loan options, the program helps reduce the challenges associated with purchasing a home. Contact a participating lender today to learn more and start the application process.