Nebraska Mortgage and Refinance Rates

Current mortgage rates in Nebraska

As of Wednesday, July 10, 2024, current mortgage interest rates in Nebraska are 6.78% for a 30-year fixed mortgage and 6.35% for a 15-year fixed mortgage.

While Nebraska mortgage rates remain close to the historical norms, the Nebraska housing market has seen home prices continue to rise due to high demand. The median home sale price in Nebraska was $274,200 as of Feb. 2024 — up 5.3 percent year-over-year — according to RedFin. Omaha’s median sale price was $255,000, and homes only spent 17 days on the market, indicating a competitive market. Lincoln was less competitive, but the median home price still grew by over 3 percent year-over-year to $280,000.

Refinance rates in Nebraska

In the past two years, Nebraska has observed a significant rise in refinance rates, making refinancing less practical for most homeowners. If rates decrease in 2024 and 2025, there’s potential for more homeowners to refinance to reduce their monthly payments. Run the numbers using our mortgage refinance calculator to see if refinancing could be beneficial for you.

While rates aren’t as low as they were, a cash-out refinance could be an option if you’re renovating or consolidating high-interest debt.

Nebraska mortgage rate trends

Although mortgage rate changes are uncertain, the prevailing prediction is that rates will stay higher than historical lows for the foreseeable future, including in Nebraska. With the possibility of the Federal Reserve lowering rates, many economists anticipate a decline in mortgage rates throughout 2024 and into 2025.

National mortgage rates by loan type

Mortgage statistics for Nebraska

Nebraska has seen its home sales prices rise steadily in recent years. If you’re buying in Nebraska, here are some stats to know: 

• Average home value (as of Feb. 2024):  $251,315 (Zillow)
• Homeownership rate (as of Q4 2023): 66.8% (U.S. Census Bureau)
• Number of homes for sale (as of Feb. 2024): 3,793 (Zillow)
• Homes with price drops (as of Feb. 2024): 22.4% (Redfin)

Mortgage options in Nebraska

If you’re looking to get a mortgage in Nebraska, consider these options:

• Nebraska conventional mortgages: For a conventional mortgage in Nebraska, you’ll generally need a debt-to-income (DTI) ratio of no more than 45 percent and a credit score of at least 620. The minimum down payment is typically 3 percent (at that level, you’ll need to pay private mortgage insurance, or PMI, premiums, as well).
• Nebraska FHA loans: If you have a lower credit score, a loan insured by the Federal Housing Administration (FHA) might be a better option. You can get an FHA loan with a credit score of 580 and a down payment of 3.5 percent.
• Nebraska VA loans: If you’re a qualifying veteran, an active-duty member of the military or a surviving spouse, you can get a mortgage guaranteed by the Department of Veterans Affairs (VA). VA loans don't require a down payment or mortgage insurance, but you do need to pay a funding fee.
• Nebraska USDA loans: Since Nebraska is largely a rural state, there are a lot of properties eligible for loans backed by the United States Department of Agriculture (USDA). Like VA loans, USDA loans don’t require a down payment. However, you’ll need to meet area-specific income requirements.

First-time homebuyer programs in Nebraska

There are several homebuyer assistance programs offered through the Nebraska Investment Finance Authority (NIFA). These include:

• NIFA Homebuyer Assistance Program (HBA) Welcome Home: HBA offers low-interest mortgages and down payment assistance. To qualify, you must have a credit score of 640 or higher, have an income below $160,000 and be buying a house less than $470,000, among other requirements.
• NIFA First Home program: If you're a first-time homebuyer who doesn’t need down payment assistance, the First Home program could be for you. In general, it comes with lower rates than the HBA program but has the same requirements.

How to find the best mortgage rate in Nebraska

• Step 1: Strengthen your credit score - Long before you start looking for a mortgage lender or applying for a loan, give your finances a checkup, and improve your credit score if needed.
• Step 2: Determine your budget - To find the right mortgage, you’ll need a good handle on how much house you can afford.
• Step 3: Know your mortgage options - There are a few different types of mortgages.
• Step 4: Compare rates and terms from several lenders - Rate-shop with at least three different banks or mortgage companies.
• Step 5: Get preapproved for a mortgage - Getting a mortgage preapproval is the only way to get accurate loan pricing for your specific situation.

Additional Nebraska mortgage resources

• Nebraska loan limits by county: Learn the FHA and conventional loan limits for the state listed by county.
• Nebraska mortgage lenders: Check out this list of Nebraska mortgage lenders.
• Nebraska homeowners insurance: Shop for homeowners insurance for your new home.

Meet our Bankrate experts

Written by: Andrew Dehan, Writer, Home Lending

I’ve covered mortgages, real estate and personal finance since 2020. At Bankrate, I’m focused on all of the factors that affect mortgage rates and home equity. I enjoy distilling data and expert advice into takeaways borrowers can use. Prior to Bankrate, I wrote and edited for Rocket Mortgage/Quicken Loans. My work has been published by Business Insider, Forbes Advisor, SmartAsset, Crain’s Business and more.

Read more from Andrew Dehan

Edited by: Laurie Dupnock, Editor, Home Lending

I’ve spent five years in writing and editing roles, and I now focus on mortgage, mortgage relief, homebuying and mortgage refinancing topics. I’m most interested in providing resources for aspiring first-time homeowners to help demystify the homebuying process. In 2021, I earned a Poynter ACES Certificate in Editing. I have an MA in English. 

Read more from Laurie Dupnock