New Home Savings Program & PCDC Grants A Winning Combination

A new Nebraska first-time homebuyer program combined with PCDC’s down payment assistance grants could make Phelps County even more attractive for home seekers.

In April, Nebraska lawmakers passed the First-Time Homebuyer Savings Account Act to help more Nebraskans put down roots in their community.  This law was passed at the urging of Nebraska State Treasurer Joey Spellerberg.

According to the Nebraska State Treasurer, Nebraska’s median home price surged from $155,000 a decade ago to $290,000 today. According to Zillow, the median list price for Phelps County homes is $221,500, up from $180,000 just five years ago.

The new First-Time Homebuyer Savings Accounts encourage prospective homebuyers to begin saving earlier. Starting in January, individuals can open a First-Time Homebuyer Savings Account with a bank or credit union. 

Individuals can contribute up to $5,000 a year (lifetime limit of $25,000), while married couples can contribute up to $10,000 a year ($100,000 limit). Contributions are fully deductible from Nebraska income taxes, and interest and earnings grow state tax-free when used for qualified expenses.

Qualified expenses include down payments, closing costs, inspection fees, appraisal fees, and mortgage origination fees when purchasing a home in Nebraska. Down payment and financing costs associated with constructing a primary home in Nebraska are also qualified expenses.

Spellerberg traveled to Holdrege and other cities around the state this summer, sharing information about this new program.

PCDC Executive Director Jeff Hofaker said he is grateful to the 2026 Legislature for passing this act and to Spellerberg for keeping the public updated about this in his town meetings.  

"This new savings program that can support our new, young citizens for first-time housing purchases makes it very attractive to new workforce coming to Phelps County, since individuals can pursue PCDC's GO! HOME down payment assistance program as well,” Hofaker said.

PCDC GO! HOME Matching Grants

PCDC offers matching grants of up to $7,500 for down payment assistance on newly constructed homes and up to $5,000 for existing homes. The buyer must apply for the grant through his or her employer, who is encouraged to match PCDC’s grant (except in the case of public/school employees who aren’t required to provide a match). PCDC grants are offered to new or existing employees who are moving into Phelps County as new residents.

So far in 2026, PCDC has provided 16 down payment assistance grants, resulting in 32 new residents. Those residents have moved from towns such as Lincoln, Kearney, Broken Bow, and Phillipsburg, Kan. 

Employers participating in matching grants include Phelps Memorial Health Center, Holdrege Soft Water, Schrock Farms, Dier Osborn & Cox, First State Bank, Holly Olson State Farm Agent, Maverick Metal, IES Electrical and Central Valley Irrigation.

Combining the GO! HOME grants and the new First-Time Home Buyers Savings Accounts, Phelps County is poised to help many new home buyers and Phelps County.

“It could be a very strong catalyst for workforce recruitment to Phelps County,” Hofaker said.

Northern Meadows

And, Phelps County has a variety of homes available, including five new homes under construction in the Northern Meadows subdivision near the new Holdrege baseball/softball complex.

David Hegarty, CFO with R. Perry Construction, said they have built 10 homes and sold nine of them (with the 10th under contract) in the new subdivision. 

This summer, construction began on five more homes with one of those already spoken for. The homes are all 1,280 square feet with an asking price between $285,000 and $315,000. 

R. Perry Construction will continue building homes in Northern Meadows until it has completed and sold 30 homes, Hegarty said.

The Northern Meadows project is made possible through a Rural Workforce Housing grant, which was awarded to PCDC in May of 2023. 

In partnership with the City of Holdrege, $400,000 in grant funds and $200,000 in PCDC matching funds were directed to build Northern Meadows. 

“The City of Holdrege has been fantastic to work with, and we really appreciate the partnerships to bring affordable housing to Holdrege,” Hegarty said.

For more information on PCDC GO! HOME grants, visit https://www.phelpscountyne.com/business-services/go!-programs

For more information about the First-Time Home Buyers Savings Accounts, visit https://treasurer.nebraska.gov/first-time-homebuyers-savings.aspx