Mutual of Omaha Mortgage review

Mutual of Omaha is an established mutual insurance and financial services company that’s been around since 1909. In recent years, however, it started offering mortgages through its home-lending division, Mutual of Omaha Mortgage.

Since its launch, Mutual of Omaha Mortgage has served as a full-service home lender offering fixed-rate and adjustable-rate mortgages. It also offers mortgage refinancing options. The lender is licensed in all states except New York and West Virginia.

If you’re thinking about buying a home but aren’t sure which lender to choose, here’s the full Mutual of Omaha Mortgage review to make your decision easier.

Best for multiple loan options

Mutual of Omaha’s home loans include conventional, FHA, VA, USDA, and jumbo loans. The lender also specializes in reverse mortgage loans and mortgage refinancing — specifically cash-out refinances.

Whether you’re a first-time homebuyer or an older homeowner looking to borrow against your home equity to supplement your retirement income, Mutual of Omaha Mortgage could help. The lender also supports its customers every step of the way, making the lending process easier for newer buyers.

Mutual of Omaha Mortgage: Pros and cons

If you are considering getting a loan with Mutual of Omaha Mortgage, factor in these benefits and drawbacks first: 

Pros

• Variety: Mutual of Omaha Mortgage offers conventional, jumbo, and government-backed mortgages (VA, USDA, and FHA loans). It also offers cash-out refinancing, home equity lines of credit, reverse mortgages, and a Home Affordability Refinance Program.
• Convenient app: Prospective homebuyers can use the lender’s mobile app to track their application, upload loan documents, and more.
• Free home affordability tools: Mutual of Omaha Mortgage’s MORE Home Search is a web-based app that lets you search for properties based on your desired monthly payment or price point. It notifies you about price changes, new listings, and market updates.
• Excellent customer service: This lender has a 4.4 rating from Trustpilot and 4.81 out of 5 stars from the Better Business Bureau (BBB). Many customers tout the lender’s exceptional customer service, with phone and email support, as well as live chat.
• Quick application process: The initial pre-approval process takes about 24 hours, after which you’ll know your estimated loan approval amount, rates, and terms. The formal application can be completed entirely online.
• Discounts available: Mutual of Omaha Mortgage offers its employees up to $1,000 off closing costs.
• Down payment assistance (DPA): Eligible first-time homebuyers could get a home loan with as little as 1% down. The Mutual Assist DPA offers 100% financing for FHA loans.
• Availability: Mutual of Omaha Mortgage is licensed in 48 states. It’s not available to West Virginia or New York residents, however.

Cons

• Lack of rate transparency: Mutual of Omaha’s mortgage rates are listed online, but they’re estimates only. You’ll need to provide personal and contact information to receive a more accurate rate.
• Fees not clearly disclosed: Most mortgage lenders charge fees, such as origination fees. Mutual of Omaha Mortgage doesn’t clearly indicate its fees, but you can expect to pay 2% to 3% in closing costs.
• Eligibility requirements not clearly disclosed: Mutual of Omaha Mortgage doesn’t indicate its specific lending criteria. However, you'll need a 620 credit score or better and a 50% maximum debt-to-income ratio (DTI) to qualify for most loans.

What to consider before applying

Take into account what your goals are and what kind of support you need before you apply. If you’re planning to purchase a home, Mutual of Omaha Mortgage offers a large variety of home financing options, including specialty loan programs and down payment assistance. If your goal is refinancing or accessing your home’s equity, Mutual of Omaha Mortgage has several programs you can explore, though its specialty is cash-out refinances. The lender is highly rated on sites like Trustpilot and BBB, with most customers praising Mutual of Omaha Mortgage’s customer service. The lending process as a whole is also streamlined and easy to complete online or in person.

However, Mutual of Omaha Mortgage does fall short in terms of transparency. As a prospective borrower, you won’t know the exact Mutual of Omaha Mortgage rates, fees, requirements, or terms until you begin the application process. You’ll also need to provide personal information and speak with a licensed loan originator to learn about the available options. 

To determine the best mortgage companies, Fox Money evaluated lenders based on several different categories: rates and fees, reputation, eligibility, efficiency, customer experience, and discounts and perks. We also looked at the types of loans offered by each lender for research purposes only, they did not factor into the overall score. We assigned a score out of five stars to each lender based on our findings. 

Learn more about how Fox Money rates lenders by checking out Mortgage Lender Rating Methodology.

How to apply for a loan with Mutual of Omaha Mortgage

You can apply for a home loan with Mutual of Omaha Mortgage online, in person, or via phone. Here are the general steps to apply online:

1. Choose what you need: On the homepage, select “Purchase.” From there, you’ll need to provide some basic information about where you are in the application process, your estimated credit score, down payment amount, home price, military status, and contact information.
2. Speak with a licensed loan officer: Once you send the initial form, a licensed professional will contact you about your options. They can also answer any questions you might have, as well as discuss the potential rates, terms, fees, and eligibility criteria.
3. Gather your documents: Mutual of Omaha Mortgage doesn’t clearly detail what you’ll need to get a mortgage. However, you’ll typically need proof of your income, assets, and debts. This can include W-2s, pay stubs, bank statements, and federal tax returns.
4. Check your credit: Regardless of lender, it’s important to know your credit score before applying for a mortgage. You can get copies of your credit reports from each major bureau — TransUnion, Equifax, or Experian — or you can go through AnnualCreditReport.com. Review your reports and dispute any errors you find.
5. Apply: After gathering your documents, complete the formal application and closing process. Be prepared to upload more documents upon request; providing timely responses can help speed the process along. If you’re approved for a loan, review the loan documents carefully before signing.

How to qualify for a loan with Mutual of Omaha Mortgage

Mutual of Omaha Mortgage doesn't list its exact requirements for home loans, but here's what you'll generally need to qualify for a conventional mortgage:

• 620 minimum credit score
• 50% maximum DTI
• 3% minimum down payment recommended (0% down payment options available for FHA loans)
• Income and employment verification
• Asset and debt disclosure
• Proof of residency (loans not available in New York and West Virginia)
• Social Security number and/or proof of identity

How to refinance with Mutual of Omaha Mortgage

You can refinance your home loan with Mutual of Omaha Mortgage. To start the process online, visit the homepage, select “Refinance,” and follow the prompts. You’ll need to answer a few questions, such as:

• Why you want to refinance (to get cash out of your home, lower your monthly payment, pay off your mortgage sooner, or other)
• What type of home you’re refinancing (single family, multifamily, condo/townhouse, mobile/manufactured, or other)
• Intended property use (primary or secondary residence, investment property)
• Estimated property value
• Remaining mortgage balance
• Property location

You’ll also need to provide your estimated credit score, military status, name, and contact information so a licensed loan officer can reach out about your options.

Mutual of Omaha Mortgage also provides the option of a cash-out refinance. This lets you replace your existing loan with a new mortgage, plus extra you’ll receive as cash to use for other purposes, such as debt consolidation or home improvements.

Before refinancing, check the current refinance rates online. While your rates might be different, this can help you determine whether now’s a good time to do it.

To refinance an existing loan, you’ll need the same type of information as when you applied for your initial mortgage. This can include income verification, proof of assets and debts, your credit score, and identifying information about yourself. Mutual of Omaha Mortgage has an automated process to make the process easier.

Besides traditional mortgage refinancing, Mutual of Omaha Mortgage also offers home equity loans. To qualify, you'll generally need at least 80% home equity, stable income, and a maximum DTI of 43%. You may also need to schedule a second appraisal if you’re applying for a home equity loan of $250,000 or more.

How Mutual of Omaha Mortgage compares

Mutual of Omaha Mortgage boasts a wide variety of loan options, from conventional to government-backed to refinance options. Whether you’re purchasing a home, refinancing, or looking to tap into your home’s equity, make sure you shop around to find the right program for you. Take a look at how Mutual of Omaha Mortgage compares to other lenders.