KS StateBank Mortgage Review 2020

Good for: borrowers looking for a VA loan who appreciate the service of a regional bank.

Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own.

Our Take

4.5

NerdWallet rating 

The bottom line: KS StateBank doesn't disappoint when it comes to a wide selection of loan products. Mortgage rates are competitive and online services are among the best, but rate shoppers will find little information online.

KS State Bank

at KS StateBank

Min. Credit Score

640

Conventional:

640

FHA:

540

VA:

540

USDA:

600

Min. Down Payment

3%

Loan Types and Products

Purchase, Refinance, Home Equity, Jumbo, Fixed, Adjustable, FHA, VA, USDA

Pros & Cons

Pros

  • The full loan product selection typical of a bank.

  • Its Hero program waives loan origination fees for educators, veterans, firefighters and police.

  • Serves 49 states and Washington, D.C., (but not New York).

Cons

  • Face-to-face service available only in Arizona, Kansas, Minnesota and Missouri.

  • Mortgage rate information is obtained only by filling out a form.

Compare to Other Lenders

Min. Credit Score

640

Conventional:

640

FHA:

540

VA:

540

USDA:

600

Min. Credit Score

620

Conventional:

620

FHA:

580

VA:

620

USDA:

620

Min. Credit Score

620

Conventional:

620

Min. Down Payment

3%

Min. Down Payment

3%

Min. Down Payment

3%

Loan Types and Products

Purchase, Refinance, Home Equity, Jumbo, Fixed, Adjustable, FHA, VA, USDA

Loan Types and Products

Purchase, Refinance, Jumbo, Fixed, Adjustable, FHA, VA, USDA

Loan Types and Products

Purchase, Refinance, Jumbo, Fixed, Adjustable

Full Review

Due to the coronavirus pandemic, getting a mortgage may be a bit of a challenge. Lenders are dealing with high loan demand and staffing issues that may slow down the process. Also, some lenders have increased their fees or temporarily suspended certain loan products. If you can’t pay your current home loan, refer to our mortgage assistance resource. For the latest information on how to cope with financial stress during this pandemic, see NerdWallet’s financial guide to COVID-19.

KS StateBank at a glance

KS StateBank is a top choice for home loans because of its ample selection of mortgage products and online convenience. The lender shines when it comes to competitive interest rates and reasonable fees. The main drawback: little mortgage rate information is available without filling out a form or contacting a loan officer.

Here's a breakdown of KS StateBank’s overall score:

  • Variety of loan types: 5 of 5 stars

  • Variety of loan products: 5 of 5 stars

  • Online convenience: 4 of 5 stars

  • Rates and fees: 5 of 5 stars

  • Rate transparency: 2 of 5 stars

KS StateBank mortgage loan types and products

While it's true that much of its loan business comes from the heart of the nation, particularly from the Kansas City metro area, KS StateBank’s home loan influence is far-flung, with sizable market shares in communities across the country.

Lenders that hold customer deposits, like banks and credit unions, usually have the most extensive assortment of loan products. That capital allows lenders like KS StateBank to do things most nonbank mortgage companies can't, like home equity loans.

KS StateBank specializes in loans backed by the Department of Veterans Affairs. It's the bulk of its loan volume, with VA loans accounting for about 60% of business in 2019. VA loans are famous for requiring no down payment, and KS StateBank honors that 0% down policy even on homes in high property value areas for military-connected borrowers with full VA entitlements.

The lineup of home loans include:

  • Purchase.

  • Refinance.

  • Fixed and adjustable-rate mortgages.

  • Conventional loans.

  • Jumbo loans.

  • FHA, VA and USDA loans.

  • Construction loans.

  • Mortgages for self-employed borrowers.

  • Vacation and second home loans.

  • FHA 203(k) renovation loans.

  • Home equity loans and lines of credit.

KS StateBank has also expanded into bank statement lending for borrowers who don't have W-2s or whose tax returns might not reflect their total financial picture. It's also a significant benefit for foreign nationals buying in the U.S.

What you won't find on the list of loans: energy-efficient, co-op or manufactured housing loans. KS StateBank doesn't offer reverse mortgages, either.

Teachers, first-responders and military-connected borrowers can take advantage of the Hero Loan Program, which waives KS StateBank's usual $795 origination charge.

KS StateBank online convenience

A mortgage application is available from the bank's website through a link associated with a particular loan officer's name, or users can fill out a general application to initiate contact. Either way, you'll need to create an account to get started.

Online convenience includes document uploads, loan process updates and tracking. The entire process is guided by a loan officer.

An available mobile app performs banking functions, such as keeping tabs on checking account balances and transferring funds between accounts but doesn't have mortgage loan capabilities.

KS StateBank mortgage rates and fees

One of the most important considerations when choosing a mortgage lender is understanding what the loan will cost. To provide consumers with a general sense of what a lender might charge, NerdWallet scores lenders on two factors regarding fees and mortgage rates:

  • A lender's average origination fee compared with the median of all lenders reporting under the Home Mortgage Disclosure Act. KS StateBank earns 5 of 5 stars on this factor.

  • A lender's offered mortgage rates compared with the best available on comparable loans. KS StateBank earns 5 of 5 stars on this factor.

"We have a $795 origination fee," says Ryan Krell, secondary marketing manager at KS StateBank. "That covers underwriting, documents — everything you usually see itemized out with some other lenders. We just lump them together."

Borrowers should consider the balance between lender fees and mortgage rates. While it's not always the case, paying upfront fees can lower your mortgage interest rate. Some lenders will charge higher upfront fees to lower their advertised interest rate and make it more attractive. Some lenders just charge higher upfront fees.

You can decide to buy discount points — a fee paid with your closing costs — to reduce your mortgage rate.

Deciding whether to pay higher upfront fees is a matter of considering how long you plan to live in your home and how much cash you have to apply toward closing costs when you sign the loan paperwork.

KS StateBank mortgage rate transparency

KS StateBank doesn't publish a page of national rates — you'll need to fill out a short form to see one. After providing some limited information, the rates you see are somewhat tailored to your situation, though still just an estimate.

However, we couldn't find information on the results page to see how interest rates were determined. For example, one item commonly found in the fine print is an assumed debt-to-income ratio, an important detail that goes into calculating an interest rate.

More from NerdWallet 

NerdWallet’s star ratings for mortgage lenders are awarded based on our evaluation of the products and services each lender offers to consumers who are actively shopping for the best mortgage. The five key areas we evaluated include the variety of loan types and products offered, online conveniences, online mortgage rate information, and the rate spread and origination fee lenders reported in the latest available Home Mortgage Disclosure Act data. To ensure consistency, our ratings are reviewed by multiple people on the NerdWallet Mortgages team.