LOANS

INSURANCE

INVESTMENTS

CARDS

eStore

Discover

MY OFFERS

CUSTOMER PORTAL

ABOUT US

CONTACT US

✓ Home Loan from ₹2 Lakhs To ₹15 Cr ✓ Multiple Lending Partners ✓ Interest Rates Starting @ 8.25%

With Union Bank, you can get a home loan of up to ₹15 Cr starting at an interest rate of just 7.75% per annum. However, you must remember that the final interest rate will depend on factors like your status of employment, repayment history, credit score and your overall creditworthiness. On top of that, a nominal processing fee will be charged to you as well.

Union Bank Home Loan Processing Fees and Charges

The charges associated with a Union Bank home loan in addition to the interest rate are:

Interest Rate

8.25% p.a. onwards

Processing Fee

0.5% of the approved loan amount (subject to a maximum of ₹15,000 + 18% GST)

Foreclosure/Prepayment charges

  • 0 in the case of floating interest rate home loans

  • 2% in the case of fixed interest rate home loans

 

Disclaimer: The charges mentioned above are subject to constant change. You must always inquire about the latest applicable rates before applying for a Union Bank home loan.

Example of Union Bank Home Loan Interest Rate

For example, you have borrowed ₹5,00,000 as a housing loan from Union Bank at an interest rate of 8.60% p.a and your loan repayment tenor is 5 years. On the other hand, your colleague has secured the same amount, but his interest rate is 6.90% p.a. and his repayment tenor is 30 years. We will now take a look at what your EMI outflow and that of your friend will look like as per your respective repayment terms. Additionally, you will also get to see the total amount both of you will repay over your respective repayment periods

Processing Fee

₹2,500 (0.5% of the loan amount)

Maximum and Minimum EMI Amounts

  • Given your repayment tenor length, your monthly EMI outflow will be ₹10,282.

  • Your friend, on the other hand, will pay ₹3,293 every month (given that his repayment tenor length is 30 years)

Total Payable Amount

  • You will pay a total of ₹6,16,942 by the end of your tenor.

  • Your friend, on the other hand, will pay ₹11,85,479 over 30 years.

 

Union Bank Loan Scheme Interest Rates

Union Bank has multiple home loan schemes available for people from all walks of life. The interest rate that each one of them attracts are as follows:

Union Bank Home Loan Scheme Name

Interest Rate

Union Home

8.25% p.a. onwards

Union Awas

8.25% p.a. onwards

Union Smart Save

7.25% p.a. onwards

 

Union Bank Home Loan Interest Rates for Salaried and Self-Employed Individuals

The Union Bank home loan interest rates applicable to salaried and self-employed people are:

Type of Applicant

Interest Rates

Salaried

8.25% p.a. onwards

Self-Employed

8.25% p.a. onwards

 

Union Bank Home Loan Interest Rates for Government Employees and Women

The applicable Union Bank home loan interest rates are as follows:

Applicant Type

Interest Rates

Women

8.25% p.a. onwards

Government Employees

8.25% p.a. onwards

 

Union Bank Home Loan Balance Transfer Interest Rates

Balance transfer facilities permit you to pay off the remainder of your housing loan to a different lender. You should consider making a switch like that to enjoy lower interest rates at which the other lender is letting you repay your outstanding housing home loan balance. But, before you actually make the switch, take the applicable processing fees and foreclosing charges (if any) into account. As of now, the Union Bank home loan balance transfer interest rate is within the range of 6.50% p.a.- 8.20% p.a.

Compare Union Bank Home Loan Interest Rates with Top Banks

The interest rates at which other leading lending institutions are providing home loans are as follows:

Lender

Interest Rate

Union Bank of India Limited

8.25% p.a. onwards

Home First Finance Company (HFFC) Limited

11.90% p.a. onwards

PNB Housing Finance

8.00% p.a. onwards

ICICI Bank

8.10% p.a. onwards

Bajaj Housing Finance Limited

7.70% p.a. onwards

 

Factors that Affect Union Bank Home Loan Interest Rates

Some variables that could affect your Union Bank loan interest rate are:

  • Your CIBIL Score: Your CIBIL score is an indicator of your loan repayment capability. If your CIBIL score is 750 or above that, you can get a Union Bank loan at a favourable interest rate. If your CIBIL score is below 750, it is possible that you may still be able to get a home loan online from Union Bank, but you will do so at a higher interest rate.

  • Your Monthly Income: The amount of money that you make on a monthly basis will determine your ability to repay your Union Bank home loan. The higher your monthly inflow of cash is, the lower your Union Bank home loan interest rate can be and vice-versa.

  • Your Loan Amount: If you take a high loan amount, you may get to repay it at a higher house loan interest rate. The opposite may be true if your Union Bank home loan amount is low.

  • Down Payment: If you have paid a large sum of money upfront as down payment, you may get a Union Bank home loan at a low interest rate.

Home Loan by Our Partners

Government Schemes

Learn More About Home Loan

FAQs on Union Bank Home Loan Interest Rate

✔️What is the Union Bank home loan interest rate of ₹25 lakh for 15 years?

You can avail a Union Bank home loan of ₹25 lakh with a repayment tenor of 15 years at an interest rate starting from 8.25% per annum. However, the exact interest rate applicable to you will depend on your credit profile.

✔️Can I convert my Union Bank Home loan interest rate from fixed to floating and vice-versa?

You can make the switch from fixed to floating interest rate system in the case of your Union Bank home loan. However, switching from a floating interest rate system to a fixed rate system is not possible.

✔️What is the interest rate applicable on a Union Bank Home Loan?

The interest rate starts from 8.25% p.a. onwards.

✔️Do I get tax benefits on a Home Loan from Union Bank?

Yes, you can get tax benefits on a home loan taken from Union Bank under Sections 80C, 80EE, and 24(b) of the Income Tax Act, 1961, as long as you meet the laid out conditions.

✔️What is the effect of part-prepayments on Union Bank Home Loan EMIs?

Part or full prepayments can help you either reduce your Union Bank Home Loan EMIs or reduce your repayment tenor. Additionally, you will also save lakhs of rupees which you would have otherwise paid as interest over the course of your repayment tenor.

✔️Am I eligible for top-up on my existing Union Bank home loan?

Yes, as long as you meet the eligibility criteria laid out for a top up on a Union Bank home loan, you can avail the same.