UBank UHomeLoan (Variable Rate)

Rates and Fees verified correct on May 25th, 2016

Enjoy a fee-free home loan with a competitive variable interest rate

The UBank UHomeLoan is a competitive product that offers a low variable interest rate, a application fee and no ongoing maintenance fees. However, if you would prefer the certainty of a fixed rate home loan UBank offer the UBank UHomeLoan Fixed Rate.

Interest Rate Max Insured LVR Max LVR
Real Reward Offer (Owner Occupier Interest Only)
4.13% p.a.
Comparison Rate
4.13% p.a.
80% 80%
Standard Variable Rate (Investor with Investor Extra Offer P&I)
3.89% p.a.
Comparison Rate
3.89% p.a.
80% 80%
Standard Variable Rate (Investor with Investor Offer Interest Only)
4.24% p.a.
Comparison Rate
4.24% p.a.
80% 80%
Standard Variable Rate (Investor)
4.46% p.a.
Comparison Rate
4.39% p.a.
80% 80%
Standard Variable Rate (Owner Occupier Interest Only)
4.46% p.a.
Comparison Rate
4.39% p.a.
80% 80%
Standard Variable Rate (Owner Occupier P&I)
4.17% p.a.
Comparison Rate
4.10% p.a.
80% 80%
Standard Variable Rate Value Offer (Owner Occupier P&I)
3.74% p.a.
Comparison Rate
3.74% p.a.
80% 80%
Product NameUBank UHomeLoan Variable Rate
Interest Rate TypeVariable
Comp Rate^ (p.a.)
Minimum Loan Amount$100,000
Maximum Loan Amount$2,000,000
Maximum Loan Term30 years
Maximum LVR80%
Maximum Insured LVR80%
Mortgage Offset AccountNo
Mortgage 100% OffsetNo
Loan Redraw FacilityYes
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableYes
Suitable for InvestmentYes
Extra RepaymentYes
Available as equity loan/line of creditNo
Repayment TypePrincipal & Interest and Interest Only Options

Application Fee$0
Lender's Legal Fee$0
Valuation Fee$0
Ongoing Fees$0 p.a.
Settlement Fee$0
Discharge Fee$0

Pros
  • There is $0 application fee.
  • You can make extra payments at any time and withdraw the funds using the free redraw facility.
  • You can split your loan to keep personal and investment funds separate.
Cons
  • Maximum loan amount is limited to 80% of the property value.
  • This loan is not available for investment purposes.
  • This product is not suitable for self-employed borrowers.

Things to consider about the UBank UHomeLoan (Variable Rate)

The UBank UHomeLoan allows you to refinance your current loan or purchase a new home, but it is not available for construction or business purposes. It's worth noting that this loan is available as a full documentation loan only.

Are you eligible for a UBank UHomeLoan?

To be eligible for the UBank UHomeLoan, you must:

  • Currently be earning a Pay As You Go (PAYG) income from an employer (this excludes rent, Centrelink payments, superannuation or family payments as your main source of income.
  • Never have committed a financial crime or declared bankruptcy.
  • Be an Australian resident with an Australian residential address.

UBank UHomeLoan (Variable Rate) features

    • Flexible loan sizes. With the Ubank UHomeLoan (Variable Rate), you can borrow from $100,000 to $2,000,000.
    • No fees: The UBank UHomeLoan (Variable Rate) comes with no application fees, ongoing fees or break fees if you pay the loan out early. There are also no fees for making additional payments towards your loan.
    • Unlimited free redraws: If you manage to get ahead with your repayments, UBank will allow you to withdraw additional funds as you need them. You can redraw as many times as you want for free provided that you withdraw more than $1,000 per redraw.
    • Maximum LVR: The maximum loan-to-value (LVR) of the UHomeLoan (Variable Rate) is 80%, with a loan term of up to 30 years.
    • Portability: If you decide to sell your property and buy another, this loan can be transferred given that the property is approved by UBank. This saves you time and money in having to reapply for a new loan.
    • Interest-only payments: You can take a break from paying both the principal and interest with the UHomeLoan and pay only the interest portion of your loan. This can be helpful if you're renovating or if you have an investment property you wish to hold onto for a short time. Interest-only payments can also reduce your loan repayments for a set period.
    • Split loan option: You can split your loan up to four times. This means you can have some of your loan calculated on a variable rate and the other portion calculated on a fixed-rate. This can save you money if interest rates rise, while giving you savings if interest rates drop.
    • Online account management: UBank is an online lender so it allows you to perform redraws and additional repayments using 'My UHomeLoan'. In addition, it provides a 24-7 customer service hotline.

Fees for the Ubank UHomeLoan (Variable Rate)

There are no ongoing, annual or applications fees charged with the Ubank UHomeLoan (Variable Rate). This is a fee-free home loan which means you can focus on meeting your mortgage repayments.

How to apply for the UBank UHomeLoan (Variable Rate)

If you believe the Ubank UHomeLoan (Variable Rate) sounds right for you, click on the 'go to site' or 'enquire now' button and you'll be redirected to the Ubank website or to a mortgage broker page where you can discuss your eligibility.

The application process consists of several stages; the application, approval, verification, valuation, assessment, approval and settlement.

During the application process, you'll be asked to offer information about your income, assets, liabilities and expenses.

Required documentation

The paperwork required for the application will depend on whether you're purchasing a property or refinancing an existing loan. However, when you apply for the Ubank UHomeLoan (Variable Rate) , you'll generally need to provide:

  • Loan purpose. You'll need to specify the loan purpose (e.g. new purchase or refinance).
  • Personal details. Ubank will require you to disclose your full name, date of birth, residential address and contact details. You'll need to provide a copy of your driver's license and your passport which clearly shows your signature and photo.
  • Employment details. When you apply for the UBank UHomeLoan (Variable Rate), you'll need to provide two recent payslips that specify your employer's name, the pay period and your gross or net income. You may also need to lodge a signed employer consent form. You'll need to provide evidence of other income (e.g. government payments or rental income).
  • Liabilities. You'll need to provide statements for any liabilities that you have, such as credit cards or personal loans.
  • Property details. During the application, you'll need to put forward the contract of sale. This document should identify the property type, address, purchase price, vendor's details and the signature of all parties.

Once you've completed your application, you can download the documents checklist from your application tracker.

UBank UHomeLoan (Variable Rate) Interest Rate History vs RBA Cash Rate Graph

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This page was last modified on 5 May 2016 at 2:20.

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116 Responses to UBank UHomeLoan (Variable Rate)

  1. Default Gravatar
    phil | May 23, 2016

    does Ubank have a broker to discuss scenarios on investment loans.

    • Staff
      Jodie | May 23, 2016

      Hi Phil,

      Thank you for contacting finder.com.au we are a financial comparison website and general information service.

      UBank unfortunately, don’t offer any of their home loans through a broker but you can reach out to them directly by clicking the ‘Go to site’ button on this page to discuss the different options available through them for a home loan for an investment property.

      Regards
      Jodie

  2. Default Gravatar
    andrew | May 22, 2016

    what is investor with investor loan mean on the u bank loan

    • Staff
      Marc | May 23, 2016

      Hi Andrew,
      thanks for the question.

      The Investor with Investor Extra (IO) offer loan is a 0.22% rate discount. It’s available only on investor interest only loans. Conditions apply.

      I hope this helps,
      Marc.

  3. Default Gravatar
    James | May 21, 2016

    I am now have a home loan with offset account in a local bank.
    I am thinking try to switch it to Ubank because it has a lower rate. But, I am bit confused about this loan account without offset account.
    Say I initally have a home loan of 500,000. How do I make a early repayment, say $200,000 in next half year if there is no offset account?
    Ta

    • Staff
      Marc | May 23, 2016

      Hi James,
      thanks for the question.

      The UBank UHomeLoan Variable Rate allows you to make unlimited additional repayments towards your home loan. If you need to get access to these extra repayments again there is a redraw facility which has a minimum of $1,000 per redraw.

      I hope this helps,
      Marc.

  4. Default Gravatar
    sharlene | April 12, 2016

    if you work in one area renting and want to purchase a property elsewhere but use it for only 3 months of the year, what type of loan should be applied for?

    • Staff
      Belinda | April 13, 2016

      Hi Sharlene,

      Thanks for getting in touch.

      I’ve sent you an email to follow up with this enquiry.

      Kind regards,
      Belinda

  5. Default Gravatar
    Willy | April 6, 2016

    the loan application allows for only 1 property
    where I have 5 individual properties.
    How can I get around this?

    • Staff
      Belinda | April 7, 2016

      Hi Willy,

      I sent you an email to follow up with this enquiry.

      Thanks,
      Belinda

  6. Default Gravatar
    Gerry | March 25, 2016

    I am trying to apply for a $56000 loan over 5 years but your website application only calculates for 30 year loans.
    Please can you advise how I apply for a 5 year loan and how long the process takes.
    I am an owner occupier looking for a P&I loan.
    Regards
    Gerry

    • Staff
      Belinda | March 29, 2016

      Hi Gerry,

      Thanks for reaching out.

      You can compare a range of short-term fixed-rate home loans on this page (including 5 year fixed rate loans). If you think one of the home loans sounds right for you, then you can click on the ‘go to site’ button to be redirected to the lender’s website or to a mortgage broker page where you can discuss your eligibility and borrowing needs.

      Keep in mind that the length of time it takes to apply for a home loan depends on the lender’s individual application process and the amount of documentation required. Please enquire with the bank or lender regarding the length of time to complete a given application.

      All the best,
      Belinda

  7. Default Gravatar
    Jann | March 15, 2016

    Hi
    I am looking at this loan to refinance.
    This is probably answered in the info but I am missing it. What is the fixed rate and how much can be fixed ?
    If split, would I still be able to pay extra?
    What is the fixed rate if 3.99 is the variable ?
    Thanks
    Jann

    • Staff
      Belinda | March 15, 2016

      Hi Jann,

      Thanks for reaching out.

      If you’re looking to refinance to the Ubank UHomeLoan (Fixed Rate), you can read our view on this page. As you’ll see the fixed interest rate depends on the loan term and whether you decide to make principal and interest or interest-only repayments.

      If you split, you can pay extra. You’re able to pay up to an additional $20,000 for a fixed rate loan.

      Thanks,
      Belinda

  8. Default Gravatar
    Lynda | February 11, 2016

    Hi, just wondering if there is a fee for the bank valuation….? Thanks.

    • Staff
      Marc | February 15, 2016

      Hi Lynda,
      thanks for the question.

      There’s currently no valuation fee for this loan.

      Regards,
      Marc.

  9. Default Gravatar
    Steve | January 5, 2016

    Hi Marc,

    If that is the case, what will be the new rate?

    Regards,

    Steve

    • Staff
      Marc | January 6, 2016

      Hi Steve,
      thanks for the reply.

      The comparable rate to the Owner Occupier Value Rate Offer is at the time of writing the Investor (P&I) with Investor Extra (P&I) Offer listed in the table above.

      I hope this helps,
      Marc.

  10. Default Gravatar
    Steve | January 4, 2016

    Hi,

    With regards to your UBank UHomeLoan Variable Rate Standard Variable Rate Value Offer (Owner Occupier and P&I). I was wondering if I intend to borrow $320K but a year down the track I decide that I want the purchased property to be an investment property, will I still receive the same interest rate or will it change?

    Regards,

    Steve

    • Staff
      Marc | January 5, 2016

      Hi Steve,
      thanks for the question.

      If the property switches from being used as a residence to being used as an investment, the rate will change to the relevant investment rate offered by UBank.

      I hope this helps,
      Marc.

UBank UHomeLoan Variable Rate

  • Interest Rate

    N/A

  • Comparison Rate

    N/A

  • App Fee / Annual Service Fee

    /

  • Max LVR

    80%

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