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Mortgage Help

What is the process for obtaining a loan?

1. Basic information is collected, via telephone, e-mail or appointment.

2. A credit report is ordered and loan options are discussed.

3. An appointment is set to sign the loan application documents, or the documents can be mailed, faxed or e-mailed.

4. Pay stubs (or tax returns, if self-employed), bank statements, and any other financial data necessary for your particular loan, are collected.

5. The appraisal and title insurance are ordered.

6. The loan is submitted to underwriting for final loan approval.

7. If this is a purchase, you will need to choose a home owners insurance company.

8. The closing date is set and loan closing documents are prepared.

9. The loan closes.

What are Nebraska Mortgage's interest rates?

This is an interesting question.  We don’t post our rates online because interest rates fluctuate, sometimes several times a day and positioning of lenders in the marketplace also changes.  Several factors affect the interest rates:  the loan size, whether it is a purchase loan or a refinance, whether you are taking extra cash out of your refinance, what your credit scores are, what type and term of loan you are looking for. 

There truly is no ‘one size fits all’ when it comes to mortgage interest rates.  If you are planning to be in your home for several years, it may be advantageous to pay discount points to buy the rate down.  If you plan to move in 3 to 5 years, an adjustable rate mortgage may make more sense.  If your credit scores are low, it may be in your best interest to go with a higher interest rate and the lowest possible closing costs, with the goal being to refinance when your credit scores have improved. 

As a mortgage banker, we have more than 30 secondary market lenders to choose from.  We can shop the rates and discount points to find the loan that best fits your situation. We can help you weigh the pros and cons between different loan options and different lenders so that you can choose the one that is right for you.

Why is the annual percentage rate (APR) different from the interest rate?

The Annual Percentage Rate (APR) is the cost of credit expressed as an annual rate. Because you may be paying loan discount "points" and other "prepaid" finance charges at closing, the APR disclosed is often higher than the interest rate on your loan. This APR can be compared to the APR on other loan programs, to give you a consistent means of comparing rates and programs.

The APR is computed from the Amount Financed, and based on what your proposed payments will be on the actual loan amount credited to you at settlement. In a $50,000 loan with $2,000 Prepaid Charges, a 30-Year term and a fixed interest rate of 12%, the payment would be $514.31 (principal and interest). Since the APR is based on the Amount Financed ($48,000), while the payment is based on the actual loan amount given ($50,000), the APR (12.5553%) is higher than the interest rate.

The APR can also be effected by an Adjustable Rate Mortgage (ARM). For example, a One- Year ARM may have a first year interest rate of 6.0%, but will adjust yearly based on the index. The APR attempts to predict an average rate over 30 years. The APR is also increased if the loan has Private Mortgage Insurance (PMI). PMI is required on most loans that exceed 80% of the value of the house. The PMI is considered a "prepaid" finance charge when calculating the APR.

What are the required documents for loan approval?

1. Last Paycheck Stub


2. Last Bank Statement


3. If Self-employed, Last Two Years Tax Returns


4. Documentation of Down Payment, 'if a purchase'

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