ubank home loans

ubank offers home loans that may be appropriate for first home buyers, refinancers, property investors, and more.

However, when it comes to what types of borrowers ubank lends to, there are a few points that prospective borrowers should keep in mind.

The first is that ubank has a minimum required loan-to-value ratio (LVR) of 85%, meaning you are unlikely to be approved for a home loan with ubank if your saved deposit is less than 15% of your total proposed loan size. Additionally, depending on the suburb a property is located in, ubank may require a lower minimum LVR to reduce the perceived risk of lending against a property in that area.

ubank also likely won’t give you a home loan if you can’t repay your proposed home loan at a rate 3% higher than the advertised interest rate. This is because the Australian Prudential Regulation Authority (APRA) requires all lenders to assess an applicant’s ability to service their proposed home loan in the event of interest rate hikes.

Yes, ubank provides home loans to first home buyers. While they don’t have a specific home loan product designed for first home buyers, they have several tools and resources available to first home buyers designed to help them navigate the process of buying a home for the first time.

No, ubank is not one of the 33 participating lenders chosen by the Federal Government to offer the Home Guarantee Scheme. The Home Guarantee Scheme helps certain home buyers secure a home loan with a deposit smaller than 20%, without having to pay lenders mortgage insurance (LMI).

The Home Guarantee Scheme is made up of three separate initiatives:

• The First Home Guarantee, which allows eligible first home buyers to purchase a home with a deposit of as little as five percent.
• The Family Home Guarantee, which allows eligible single parents to purchase a home with a deposit of as little as two percent, regardless of whether they’re a first home buyer or not.
• The Regional First Home Buyer Guarantee, which allows eligible first home buyers to purchase homes in regional areas with a deposit of as little as five percent.

Applications for one of these schemes can only be made through a participating lender or a mortgage broker acting as an authorised representative of a participating lender.

Yes, you can switch your home loan to ubank from another bank by refinancing. Borrowers refinancing their loan with ubank can switch to a fixed, standard variable rate or split rate loan. They can also can add a redraw facility and/or an offset account to eligible loans.

ubank doesn’t charge LMI to borrowers, but lenders are required to have at least 15% of the loan amount in the form of a deposit or existing equity. Borrowers without at least a 15% deposit won’t be approved for a ubank home loan.

As of July 2024, ubank charges the following fees across its range of home loan products:

• Loan advance fee – $250
• Valuations over $360 – amount in excess of $360
• Documentation fee – $100
• Rate lock fee – $500
• Annual fee (Flex home loan only) – $250
• Discharge fee (per property) – $300
• Switch fee (Neat home loan only) – $100
• Break costs (Flex home loan only) – As calculated in accordance with your loan agreement
• Production fee – $110