Nebraska Homebuyer Assistance (HBA) Program Guide

Guide to the Nebraska Homebuyer Assistance (HBA) Program

The Nebraska Homebuyer Assistance (HBA) Program is designed to make homeownership more attainable by providing financial support for down payments and closing costs. This program aims to help eligible homebuyers, especially first-time buyers, overcome common financial barriers to purchasing a home. Below is an updated guide to the program’s features, eligibility requirements, and application process for 2025.

1. Program Overview:

• Purpose: The Nebraska HBA Program offers financial assistance to eligible buyers to cover upfront costs associated with purchasing a home, including down payment and closing fees.
• Assistance Options: Buyers can receive down payment and closing cost assistance through grants or deferred loans, depending on their eligibility and program terms.
• Focus on Affordability: By reducing upfront expenses, the program ensures more Nebraskans can access affordable homeownership opportunities.

2. Eligibility Requirements for 2025:

To qualify for the Nebraska Homebuyer Assistance Program, applicants must meet the following requirements:

• First-Time Homebuyer Status: The program primarily targets first-time buyers, defined as individuals who have not owned a home in the past three years. Certain exceptions may apply for specific populations or targeted areas.
• Income Limits: Household income must fall within the program’s limits, which vary by county and household size. These limits are updated annually to reflect the area median income (AMI).
• Purchase Price Limits: The home’s purchase price must not exceed program-specific limits, which vary by location and are adjusted annually.
• Primary Residence Requirement: The home must be located in Nebraska and used as the buyer’s primary residence. Investment properties and second homes are not eligible.
• Homebuyer Education: All applicants must complete a homebuyer education course to participate in the program. This course provides essential knowledge on budgeting, mortgage management, and homeownership responsibilities.

3. How to Apply:

Follow these steps to apply for the Nebraska Homebuyer Assistance Program:

• 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 proof of income, recent tax returns, credit reports, and a certificate from the required homebuyer education course.
• Submit Your Application: Complete your application with your lender’s assistance and provide all necessary documents for review.

4. Program Benefits:

• Reduced Upfront Costs: The program provides financial assistance for down payments and closing costs, making it easier for buyers to afford their first home.
• Flexible Assistance Options: Depending on your eligibility, you may receive assistance as a grant or a deferred loan, with repayment required only under specific conditions.
• Supportive Education: The mandatory homebuyer education course equips participants with the knowledge needed to make informed decisions and prepare for homeownership.

5. Assistance Details:

• Assistance Amount: The program provides a percentage of the home’s purchase price or a set amount to cover down payment and closing costs. The exact amount depends on program guidelines and individual financial situations.
• Repayment Terms: If assistance is provided as a deferred loan, repayment is typically required only when the home is sold, refinanced, or no longer serves as the primary residence. Grants do not require repayment.

6. Additional Considerations:

• Combination with Other Programs: The Nebraska HBA Program can often be combined with other state or 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 Homebuyer Assistance (HBA) Program is an excellent resource for eligible buyers looking to reduce the financial barriers to homeownership in 2025. By offering financial assistance and educational support, the program ensures a smoother path to owning a home. Contact a participating lender today to learn more and begin your application process.