Nebraska Is Winning in Affordability and Homebuilding: Can Gov. Pillen Keep It Up?

Nebraska’s housing market continues to quietly outperform much of the nation.

The Cornhusker State earned a solid B on Realtor.com® State-by-State Housing Report Card, signaling that it’s getting the balance between affordability and homebuilding mostly right.

The report, part of Let America Build campaign, grades each state on how well it provides attainable homes today while preparing for tomorrow’s demand. Nebraska’s results show a steady, sustainable housing market that is keeping pace with both its population and economic growth.

But elsewhere in the country, problems persists. President Donald Trump recently put pressure on homebuilders to increase construction nationwide, given the issues with construction in the country. In a post on his Truth Social platform in early October, he accused major builders of hoarding lots to prop up prices—likening them to OPEC, which restricts oil output to maintain high prices.

“They’re my friends ... but now, they can get Financing, and they have to start building Homes. They’re sitting on 2 Million empty lots, A RECORD,” Trump wrote. He urged Fannie Mae and Freddie Mac to intervene and “get Big Homebuilders going” to “restore the American Dream.” 

So what can the rest of the country learn from what Nebraska has done in terms of affordability and homebuilding initiatives?

Nebraska’s “B” grade explained

Realtor.com’s analysis gave Nebraska a total score of 66.7, putting it among the top-performing states in the Midwest. The state’s median listing price was $350,229 in 2024, paired with a healthy median household income of $74,027. Nebraska’s Realtors Affordability Score came in at 0.72, reflecting a broad range of homes still attainable for middle-income households.

When it comes to building, Nebraska punched above its weight. The state made up 0.7% of national housing permits in 2024 while accounting for 0.6% of the U.S. population—a permit-to-population ratio of roughly 1.2. That shows builders are keeping pace with demand and, in some areas, even leading the way. The new construction premium—the difference between new and existing home prices—was 49.4%, slightly high but in line with other Midwestern states where newer homes tend to feature more space and modern amenities.

Realtor.com’s economists say Nebraska’s combination of modest prices and consistent construction makes it one of the nation’s most balanced housing markets. While mortgage rates remain high, steady permitting and local growth policies have helped shield Nebraska from the sharp affordability drops seen elsewhere.

The Midwest advantage

Nationally, the second quarter of 2025 brought encouraging signs for buyers. The Realtor.com New Construction Insights found that the median price for new homes held steady at $450,797, while resale prices climbed 2.4%, narrowing the national new construction premium to just 7.8%, the lowest on record.

Regionally, the South remains the epicenter of U.S. building activity, but the Midwest continues to lead in affordability. Nebraska, Iowa, and South Dakota all earned B grades or better, thanks to moderate prices, available land, and balanced permitting. Builders in these markets are focusing on attainable housing options rather than high-end luxury products, keeping demand steady.

Which is a strategy the rest of the country really should try to follow.

“America is short more than 4.7 million homes, and every new home built helps close that gap while fueling local economies," says Shannon McGahn, executive vice president and chief advocacy officer at the National Association of Realtors®.

"NAR research shows that the U.S. has faced a persistent housing shortage for more than a decade, driving up prices and limiting options for buyers. Expanding housing supply creates jobs, supports small businesses, and affords families the opportunity to build generational wealth.”

What’s next for Nebraska housing

While many of its neighbors have rolled out major housing legislation in recent years, Nebraska has taken a quieter, steady approach to maintaining balance between affordability and development. Governor Jim Pillen’s administration has not yet introduced a sweeping statewide housing initiative, but the state’s local and regional policies—such as targeted incentives for workforce housing like the Rural Workforce Housing Fund (RWHF) and community revitalization—have helped sustain healthy levels of building.

The National Association of Home Builders’ Blueprint to Address the Housing Affordability Crisis reinforces that consistency is key. The plan calls for reducing regulatory costs, easing material bottlenecks, and promoting skilled-trades careers to maintain a strong construction pipeline.

Those strategies align closely with Nebraska’s pragmatic, market-driven approach. By keeping local permitting predictable and supporting infrastructure investment, the state has created a climate where homebuilders can respond efficiently to demand without overheating the market.

This article was produced with editorial input from Dina Sartore-Bodo and Gabriella Iannetta.