Quick answer
A median-value Nebraska home ($263,100) costs about $2,151 a month with 10% down at the 7.24% national average rate, and property tax at 1.42% of value is 14% of that. Sellers pay Nebraska’s documentary stamp tax of 0.332% of the price. For cash at closing, NIFA’s Homebuyer Assistance lends up to 5% of the purchase price as a second loan at 1%, repaid over 10 years.
Key facts
1.42%
Effective property tax rate
US Census Bureau, American Community Survey 2024 1-year · 2024 ACS 1-year
$3,739/yr
Median property tax paid
US Census Bureau, American Community Survey 2024 1-year · 2024 ACS 1-year
$263,100
Median home value in Nebraska
US Census Bureau, American Community Survey 2024 1-year · 2024 ACS 1-year
$76,376/yr
Median household income
US Census Bureau, American Community Survey 2024 1-year · 2024 ACS 1-year
5%
NIFA Homebuyer Assistance, up to (share of price)
Nebraska Investment Finance Authority: Homebuyer Assistance · Oct 26, 2026
Property tax: the cost that sets Nebraska apart
At 1.42% of value, Nebraska’s effective property tax rate is above the national 0.89% and ranks 7th of 51. The median value of $263,100 is below the US median and the 14th-lowest in the country, while the median owner’s tax bill of $3,739 a year is the 16th-highest among the states and DC. Bills come from local levies: school districts, counties, cities and other districts, applied to the county assessor’s valuation.
What Nebraska’s tax rate costs in buying power
On the median home, property tax runs $311 a month, $116 more than the same home would pay at the US ratio. At today’s average rate, $116 a month would carry about $17,051 of mortgage principal. Put another way, the median Nebraska income supports a price of about $234,000 at Nebraska’s tax rate, against $247,000 at the national ratio — $13,000 of buying power that goes to the tax bill instead.
Look up the actual levy and valuation for any home on the county assessor’s site before you offer, and budget from that rather than from the statewide average. Nebraska also offers a refundable state income tax credit for community college property taxes paid, claimed on Form PTC with your Nebraska return — the Department of Revenue explains which years and taxes qualify.
Paying for a median-priced Nebraska home
$263,100 home, 10% down, 30-year fixed at 7.24%
| Part of the payment | Monthly |
|---|---|
| Principal and interest on $236,790 | $1,614 |
| Property tax at 1.42% | $311 |
| Homeowners insurance at the national $4.90 per $1,000 | $107 |
| PMI (midpoint of Freddie Mac’s range) | $118 |
| Total | $2,151 |
The insurance line uses Freddie Mac’s national average per $1,000 of value. Quotes vary with the roof’s age, hail and wind exposure and the deductible you choose, so get one before you commit.
Open the payment calculator with these inputs, then swap in the home’s real tax bill.
NIFA’s Homebuyer Assistance second loan
The Nebraska Investment Finance Authority (NIFA) sells its first mortgages through participating lenders. Its Homebuyer Assistance (HBA) program adds a second loan for the down payment and closing costs, capped at 5% of the purchase price, at 1% interest over 10 years. The first mortgage can be conventional, FHA, USDA or VA, and you must meet NIFA’s first-time homebuyer rules.
HBA on the median Nebraska home
| Amount | |
|---|---|
| Maximum HBA second loan (5% of $263,100) | $13,155 |
| Monthly payment at 1% over 10 years | $115 |
| Total interest over the term | $674 |
The second loan is cheap, but NIFA prices the first mortgage that comes with HBA above its standard First Home rate — that is how the assistance is paid for. Compare the total monthly cost of HBA with a plain First Home loan and your own down payment.
Repeat buyers aren’t shut out: NIFA’s Welcome Home program is open to first-time and repeat buyers, with its own assistance option, and NIFA also lists a Military Home program. Rates on all NIFA programs change often, so ask a participating lender for the current sheet. More on how these programs compare in the first-time buyer programs guide.
The documentary stamp tax
Nebraska charges a documentary stamp tax of $3.32 per $1,000 of value when a deed is recorded — 0.332%, or $873 on the median home. The seller pays it. As a buyer, your closing costs are the lender’s fees, title insurance, recording fees, prepaid interest and the escrow deposit; the closing cost calculator adds them up.
Can the median income buy the median home?
On the median household income of $76,376, Freddie Mac’s 30% guideline allows $1,909 a month — about $234,000 with 10% down at today’s rate and Nebraska’s tax ratio, $29,100 less than the median home value. Homes cost 3.4 times income here, against 4.4 nationally. Owner-occupancy, at 66.7%, is above the US rate of 65.3%.
Run the numbers on your own income with the affordability calculator, or compare owning with the median rent of $1,102 in the rent vs buy calculator.
Frequently asked questions
How high are property taxes in Nebraska?
Census figures put the median Nebraska homeowner’s bill at $3,739 a year, an effective rate of 1.42% of home value against 0.89% nationally. Your bill depends on the school district, county and city levies where the home sits.
Who pays the documentary stamp tax in Nebraska?
The seller. The tax is 0.332% of the value — $3.32 per $1,000 — and is collected when the deed is recorded.
What is NIFA Homebuyer Assistance?
It is a second loan of up to 5% of the purchase price for the down payment and closing costs, at 1% interest over 10 years, paired with a NIFA first mortgage. You must meet NIFA’s first-time homebuyer rules.
Does Nebraska have a property tax credit for homeowners?
Nebraska offers a refundable income tax credit for community college property taxes paid, claimed on Form PTC with your state income tax return. Check the Department of Revenue for the years and taxes that qualify.
Can repeat buyers get NIFA loans?
Yes. NIFA’s Welcome Home program is open to first-time and repeat buyers and has its own assistance option, while Homebuyer Assistance requires first-time buyer status.
How much house can you afford in Nebraska?
On the median income of $76,376, keeping housing under 30% of income supports about $234,000 with 10% down at today’s average rate, counting Nebraska’s average property tax rate.
Sources
- Freddie Mac Primary Mortgage Market Survey — 30-year fixed rate, national weekly average (Week of Oct 29, 2026)
- US Census Bureau, American Community Survey 2024 1-year — Median value of owner-occupied homes (2024 ACS 1-year)
- US Census Bureau, American Community Survey 2024 1-year — Median household income (2024 ACS 1-year)
- US Census Bureau, American Community Survey 2024 1-year — Effective property tax rate (median taxes ÷ median home value); Median real estate taxes paid by homeowners (2024 ACS 1-year)
- US Census Bureau, American Community Survey 2024 1-year — Median gross rent (2024 ACS 1-year)
- Freddie Mac Research — Average homeowners insurance premium per $1,000 of home value (2023 data)
- Freddie Mac My Home — Typical PMI cost, low end; Typical PMI cost, high end (Oct 28, 2026)
- Freddie Mac My Home — Freddie Mac guidance: housing costs below this share of gross income (Jan 22, 2026)
- Nebraska Investment Finance Authority: Homebuyer Assistance — NIFA Homebuyer Assistance second loan, up to (share of the purchase price); NIFA Homebuyer Assistance second loan interest rate; NIFA Homebuyer Assistance second loan term (Oct 26, 2026)
- Nebraska Department of Revenue — State real estate transfer tax (Jul 18, 2026)
- US Census Bureau, American Community Survey 2024 1-year — Effective property tax rate (median taxes ÷ median home value) (2024 ACS 1-year)
- US Census Bureau, American Community Survey 2024 1-year — Share of occupied homes lived in by their owners (2024 ACS 1-year)
- US Census Bureau, American Community Survey 2024 1-year — Share of occupied homes lived in by their owners (2024 ACS 1-year)
- NIFA: Homebuyer programs and rates
- Nebraska Department of Revenue: Nebraska Property Tax Credit
Last reviewed Figures are checked against the sources above. Read our editorial policy. This page is general information, not financial advice — see the disclaimer.