Sticker shock. Anyone shopping for eggs lately has experienced it. Sticker shock has also become commonplace among would-be homebuyers. Inflation of construction material costs, ballooning homeowners insurance premiums, and rising mortgage rates have all contributed to homes being much more expensive now than they were just five years ago.
As costs climb, the Nebraska Department of Economic Development (DED) is helping communities make home ownership more affordable. The Nebraska Affordable Housing Trust Fund (NAHTF) is the agency’s longest-running state housing program. Each year, DED makes NAHTF awards to agencies across Nebraska to assist with housing development and ease the burdens of homebuying.
High Plains Community Development Corp. (High Plains CDC) in northwest Nebraska received NAHTF awards in 2020, 2021, and 2022. They have used award funds to assist local homebuyers in their six-county service area (Dawes, Box Butte, Sheridan, Sioux, Morrill, and Scotts Bluff). “Lenders and homebuyers tell us that without these funds they couldn’t have purchased their home,” said Autumn Calkins, Executive Director for the High Plains CDC.
Better prepared to be a homeowner
To qualify for the assistance through High Plains CDC, potential homebuyers are required to take a home education course. “We’ve had several homebuyers tell us that they learned so much from the class to help them better prepare to purchase their first home,” explained Calkins. The class prepares homebuyers for the costs of property taxes and insurance. It also provides advice on establishing an emergency fund to cover home expenses. These lessons help each person decide if they are financially prepared to take on the long-term costs and upkeep of a home.
Giving people a chance
High Plains CDC used its NAHTF grant to provide closing cost assistance to local homebuyers. This included Brent Gebbie, who purchased a home in Crawford in July 2020. Gebbie decided to move to Crawford during the peak of the pandemic. As a remote worker, he had flexibility in choosing where to live. The northwest corner of the state—home to Fort Robinson State Park, Oglala National Grassland, and many other beautiful parks and wildlands—strongly appealed to him.
Initially, Gebbie didn’t know if he had enough saved up. Without the homebuyer assistance he received from High Plains CDC, Brent doubts that he would have made the move. “He couldn’t have afforded to buy a home [in Omaha], but he was able to purchase a home in Crawford,” said Calkins.
After buying the home, Gebbie is continuing to make positive impacts on the Crawford community. “He reached back out to us, and he has bought a local business. He also let me know he is serving on their city council,” said Calkins.
In addition, Gebbie is now married. His wife moved to the area from out of state and has become part of the Crawford community as well. “That’s the whole purpose of these funds,” Calkins said, “to give people a chance they wouldn’t have otherwise had.”
Learn more about the NAHTF program
The NAHTF program helps finance the new construction and acquisition and/or rehabilitation of existing housing units. The program also provides homebuyer assistance for down payments and/or closing costs. Additionally, NAHTF program awards provide financing to assist owner-occupants with the repair, rehabilitation, or reconstruction of their homes.
The first step to getting your community involved in the NAHTF grants is to visit the Department of Economic Development’s housing page. “Become familiar with the guidelines and maybe talk to other agencies who have received funding previously to see what steps are involved. And then make sure your agency meets criteria,” advised Calkins.
Learn more about the NAHTF program here.