We discuss major factors responsible for obtaining transparent Nd3+:YAG ceramic, a prospective material for laser applications. The relationship between the properties of starting nanopowders and the transmittance of specimens sintered at the different "ramp-soak" conditions was established by means of spectroscopic, structural, and electronic microscopy studies. It was found, that sample's transmittance (in some cases) depends on the duration of the holding time at the sintering stage. This result is promising for obtaining laser quality materials. It also contributes to basic understanding of the processes underlying fabrication of transparent laser ceramic.