Union Bank of India Home Loan 2026: Rates, Eligibility & Application

Union Bank of India was formed after the merger of Andhra Bank and Corporation Bank with Union Bank in 2020. This guide uses a March 2026 rate snapshot and product references; rates, branch information, eligibility, and service terms must be confirmed with the lender before applying.

This guide covers the referenced Union Bank home-loan products, rates, eligibility, documents, and questions to raise when comparing a current offer.

Union Bank Home Loan Interest Rates 2026

The referenced Union Bank products describe a Repo-Based Lending Rate (RBLR) link. The table below is a March 2026 snapshot, not a live quote; confirm the current benchmark, spread, and reset terms:

EMI Reference (20-year loan):

• Rs 40 lakh at 8.35%: EMI ≈ Rs 34,550
• Rs 60 lakh at 8.50%: EMI ≈ Rs 52,100
• Rs 1 crore at 9.00%: EMI ≈ Rs 89,970

Model your specific scenario with the EMI calculator.

Union Bank Home Loan Products 2026

1. Union Home Loan (Standard)

The basic home loan for purchase, construction, extension, and renovation of residential property. Floating-rate structure referenced as linked to RBLR; prepayment conditions depend on the current product and borrower terms.

Key features:

• Loan amount: Rs 1 lakh to Rs 15 crore (metro cities)
• Tenure: Up to 30 years (salaried), 25 years (self-employed)
• LTV: 90% (up to Rs 30 lakh), 80% (Rs 30-75 lakh), 75% (above Rs 75 lakh)
• Review current prepayment charges and exemptions for the specific floating-rate product

2. Union Miles (Smart Home Loan with Overdraft)

Union Miles is Union Bank's overdraft-enabled home loan product, designed to save interest for borrowers who can park surplus funds.

Features:

• OD account linked to home loan
• Surplus deposits reduce effective interest calculation
• Parked funds accessible on demand
• May be relevant for borrowers with variable income or surplus funds, subject to affordability and product terms
• Rate: typically 0.10-0.15% above Union Home Loan

Illustrative calculation: Rs 50 lakh at 8.35% with Rs 5 lakh parked produces a simple interest-offset estimate of Rs 5 lakh × 8.35% × (months parked / 12). Six months equals approximately Rs 20,875 before considering product mechanics, fees, rate resets, and account terms; it is not a promised saving.

3. Union Awas (Affordable Housing Loan)

Targeted at EWS and LIG borrowers under PMAY, Union Awas offers subsidised rates under the Credit Linked Subsidy Scheme (CLSS) and has simplified documentation requirements for qualifying borrowers.

4. Union Nari Shakti Home Loan

A product described for women borrowers with possible rate or processing concessions. Confirm the current concession, eligibility, and documentation with Union Bank.

5. Union Bank NRI Home Loan

For Non-Resident Indians purchasing or constructing residential property in India. Repayment via NRE/NRO accounts; co-applicant in India required for most cases.

Eligibility Criteria

Age:

• Minimum: 18 years
• Maximum: 70 years at loan maturity (extended to 75 for pensioners)

Employment and Income:

• Salaried: At least 2 years of employment (1 year in current organisation)
• Self-employed: Minimum 3 years of stable income
• Minimum net monthly income: Rs 15,000

Debt-to-Income Ratio: The referenced comparison describes FOIR (Fixed Obligation to Income Ratio) bands up to 55% for incomes below Rs 50,000/month and up to 60% for higher incomes. Treat these as lender-policy examples and confirm current criteria.

CIBIL Score: Minimum 650

Property Requirements:

• Clear title and encumbrance-free
• Approved plans from local municipal authority
• RERA registration for under-construction projects
• Property located in India

Estimate your loan eligibility with the home loan eligibility calculator.

Documents Required

Identity and Address Proof:

• Aadhaar card (mandatory)
• PAN card (mandatory)
• Passport / voter ID / driving licence as secondary ID

Income Documents — Salaried:

• Latest 3 months' salary slips
• Form 16 for past 2 financial years
• Last 6 months' bank statements (salary account)

Income Documents — Self-Employed:

• ITR for last 3 years with computation of income
• Audited P&L and balance sheet for last 2 years
• CA-certified financials (if turnover above Rs 1 crore, compulsory audit)
• Bank statements (current account) for 12 months
• GST returns (if applicable)
• Business registration / trade licence

Property Documents:

• Title deeds and chain of ownership documents
• Sale agreement / allotment letter
• Approved building plan
• Encumbrance certificate (minimum 13 years)
• RERA certificate (for under-construction properties)
• NOC from builder and housing society

Full checklist available at home loan documents guide.

Comparing Union Bank with Other PSU Banks 2026

Observation: Union Bank has the lowest listed starting rate in this table at 8.35% and includes the Union Miles overdraft reference. Compare that figure with SBI's listed processing-fee cap and each lender's current digital, property, and service terms; there is no universal choice for every borrower.

How to Apply for Union Bank Home Loan

Option 1: Online Application

Visit Union Bank's official website (unionbankofindia.co.in) or download the Union Bank mobile app. Navigate to the Loans section, select Home Loan, and fill the application form. Upload documents digitally — the system provides an application reference number for tracking.

Option 2: Branch Walk-In

Visit a Union Bank branch with complete documents and ask for the Retail Assets team. In major cities, Union Bank may route applications through Loan Processing Centres (LPCs); ask the lender how the current application will be handled and what timeline applies.

Option 3: Through a Loan Advisor

Engage a loan advisor like Money Matrix Hub only after confirming any borrower charges, lender-paid compensation, and the scope of support. Available support may include discussing comparison questions, but the lender controls submission, underwriting, documentation, and approval.

Processing Timeline: The comparison references 10–20 working days from complete document submission for salaried cases and 20–30 days for self-employed cases; these are indicative, not promises.

Tips to Compare Union Bank's Rate

1. Review your CIBIL report before applying. The 8.35% figure is a published example for a defined profile. A score change may affect a lender quote, but it cannot guarantee a 0.20% reduction or a particular saving; compare a written offer.

2. Ask about relationship pricing. Salary or business account holders may have different terms; request the current eligibility and rate concession in writing.

3. Apply during promotional periods. Union Bank runs processing fee waivers during Independence Day (August), Diwali (October), and the financial year-end (March).

4. Consider joint application. Including your spouse (especially if she is a woman, for the Nari Shakti concession) improves your FOIR calculation and can unlock a better rate.

5. Model Union Miles using your own cash-flow pattern. Compare the rate premium, fees, access rules, and calculated interest offset; the result depends on how long eligible funds remain parked.

6. Compare with competing banks. Even after Union Bank offers you a rate, compare it with SBI and Canara Bank. Sometimes the competition can be persuaded to match or beat Union Bank's rate.

For help reviewing Union Bank's offer against available comparison information, contact Money Matrix Hub. Confirm current lender terms, any service charges, and the final decision with the relevant lender.