NASB Home Loans Review: NerdWallet Ranked Them Best Mortgage Lender Overall

home loans

Today we’ll review a Missouri-based community bank that’s big on home loans, North American Savings Bank, or NASB Home Loans for short.

The company got started all the way back in 1927, navigated World War II and the Great Depression, and now holds billions in customer assets.

They were once known as the North American Savings Association, or NASA for short, but that probably led to some confusion.

While NASB offers a wide range of home loan options, they appear to specialize in VA lending and mortgage refinancing.

Let’s learn more about them to see if they could be a good choice for your mortgage needs.

North American Savings Bank Fast Facts

  • Community bank that offers mortgages and checking/savings accounts
  • Founded in 1927, headquartered in Kansas City, MO
  • Funded $5.6 billion in home loans last year
  • Specializes in VA loans and mortgage refinances for existing homeowners
  • Most active in the state of California (13% of overall loan volume)
  • Licensed to do business in all 50 states and the District of Columbia
  • A Costco mortgage lender partner

As noted, North American Savings Bank is a community bank that takes in deposits (checking/savings accounts) and lends out money (home loans).

They operate brick-and-mortar branches in Missouri but also work with their many customers remotely because they’re licensed nationally.

Last year, the company funded a whopping $5.6 billion in home loans, with about $750 million of that coming from the state of California.

NASB is also quite active in their home state of Missouri, along with Florida, Texas, and Virginia.

About 75% of their total business was made up of mortgage refinances, with the remainder home purchase loans.

And nearly half (45%) of loan volume consisted of VA loans, meaning they specialize in military home loans.

But they offer just about everything no matter if you’re a prospective home buyer or existing homeowner.

You may have heard of them due to their involvement with The Mortgage Program for Costco Members.

And while they are a bank, they may still sell your loan to a third-party loan servicer after closing.

How to Apply with NASB Home Loans

To begin, you can either visit a branch, call them directly, or check out their website to learn more.

Those who go the online route can schedule an appointment at their convenience to speak with a licensed loan officer.

You can also browse their loan officer directory if you’ve been referred to someone specific or want to read personal bios.

And it’s possible to just click on “Apply Now” and begin your loan application via their digital process.

After creating an online account with NASB, you’ll be able to fill in the form from any device, save your work, and revisit at your leisure.

They allow you to upload paperwork, eSign disclosures, and link financial accounts to make applying for a mortgage a breeze.

Once your loan is submitted, you can log on to the NASB customer portal 24/7 to check your loan progress, submit documents, or contact your loan officer.

If you’re buying a home, NASB’s so-called “Home Buying Advantage” may provide a leg up because it involves upfront underwriting to give you (and the sellers) peace of mind regarding financing.

Loan Programs Offered by North American Savings Bank

  • Home purchase loans
  • Refinance loans: rate and term, cash out, streamline
  • Home improvement loans
  • Conforming loans backed by Fannie Mae and Freddie Mac
  • FHA loans
  • VA loans
  • Jumbo loans up to $1.25 million
  • Non-conforming loans (non-QM)
  • Bank statement loans
  • IRA loans
  • HELOCs
  • Bridge loans
  • Fixed-rate and adjustable-rate options available

North American Savings Bank offers a ton of loan programs, including unique offerings that don’t conform to the rigorous standards of the government or Fannie Mae and Freddie Mac.

You can also get an FHA loan or VA loan, as well as a jumbo home loan with loan amounts as high as $1.25 million.

They have bank statement loans and their so-called FLEX loan that offers more flexible underwriting guidelines like the use of non-traditional income and shorter waiting periods after foreclosure or bankruptcy.

Those who want to buy and sell at the same time can take advantage of a short-term bridge loan or a home equity line of credit (HELOC) to tackle a time-sensitive transaction.

Lastly, you can get an IRA non-recourse loan that allows you to use your self-directed IRA to purchase real estate.

Both fixed-rate and adjustable-rate mortgage options are available, whether you want a traditional 30-year fixed or a less common 5/1 ARM.

The only major loan program they appear to be missing is the USDA loan.

North American Savings Bank Mortgage Rates

One perk to working with NASB Home Loans is their transparency when it comes to mortgage rates.

Instead of wondering if their rates are good, bad, or otherwise, you can visit their website and generate a real mortgage rate quote on the fly without speaking to anyone.

Simply enter the property value, down payment (or current loan amount), and your credit rating and you’ll be able to see actual interest rates in seconds.

North American Savings Bank also tends to advertise on third-party mortgage rate tables like Zillow’s and from what I saw were quite competitive relative to other lenders listed.

They were also advertising a low rate with just $1 in lender fees, so it’s clear they offer lender credits to keep closing costs as close to zero as possible.

However, they may charge a $995 loan origination fee as seen next to the mortgage rates listed on their website.

So be sure to ask about lender fees when you speak with an NASB loan officer to confirm your mortgage rate and APR.

Veterans may qualify for a $0 down VA loan

All in all, they appear to be a low-cost mortgage lender, which is somewhat unique for a depository bank.

And if you’re a Costco member, you might be able to get lender fees waived and/or a lower interest rate. Speak up if that’s the case!

NASB Home Loans Reviews

At LendingTree, they have a reputable 4.5 out of 5 rating from a sizable 3,500+ customer reviews, along with a 98% recommend rating.

On Zillow, North American Savings Bank has a near-perfect 4.95-star rating out of 5 from more than 1,200 customer reviews.

Many of those reviews indicate that the interest rate and fees/closing costs were lower than expected.

They also say 92% of their customers would recommend NASB to others based on their own internal customer surveys.

NASB was recently awarded Best Mortgage Lender Overall by NerdWallet for 2021, along with Best Mortgage Lender for VA loans and for First-Time Home Buyers.

We know the company is legit because they’re FDIC insured and accredited with the Better Business Bureau (BBB), and currently hold a perfect ‘A+’ rating based on complaint history.

To sum things up, NASB Home Loans could be a good choice for an existing homeowner looking to refinance, especially if you’re a Costco member (since fees may be waived).

They seem to offer competitive mortgage rates with limited lender fees, which may beat out the big banks and name-brand mortgage lenders.

You could also use them for a home purchase thanks to their upfront underwriting, though the drawback would be their limited physical locations

NASB Home Loans Pros and Cons

The Good

  • Can apply for a home loan online in minutes
  • A digital mortgage application to make things easy and more secure
  • Upfront underwriting for stronger offers in a competitive market
  • Lots of loan programs to choose from including jumbos and bank statement loans
  • Appear to offer low rates with limited closing costs
  • Excellent customer reviews
  • A+ BBB rating, accredited business
  • Licensed in all 50 states and D.C.
  • Free mortgage calculators

The Maybe Not

  • Do not offer USDA loans
  • May not service your loan after closing

Leave a Reply

Your email address will not be published. Required fields are marked *