Union Home Mortgage Reviews

Union Home Mortgage doesn’t publish its starting mortgage rates, so you’ll need to contact the company for a rate quote or go through the pre-qualification or preapproval processes to see what you're qualified for.

Home Mortgage Disclosure Act data shows that, from 2019 to 2021, Union Home Mortgage’s average rate for home purchases was higher than the national average. However, the difference shrank over time, and UHM’s average rate for purchase loans was just 0.07% higher than the national average in 2021.

Union Home Mortgage average home purchase rate vs. national average

Union Home Mortgage offers both fixed- and adjustable-rate mortgages (ARMs). ARMs typically offer lower introductory rates than fixed-rate mortgages, but these rates reset after a specified period based on market conditions. For example, a 3/1 ARM resets after three years, then again every year until the loan is paid off.

Most borrowers prefer the predictability of a fixed-rate mortgage, but opting for an ARM can be a good strategy depending on your short- and long-term goals. For example, an ARM can save you money if you expect that rates are going to go down or you think you can refinance and lock in a better rate later. Just be aware that rates can also go up, which would increase your monthly payments.

Union Home Mortgage’s pre-qualification process is fast and available through its app, on its website or at a branch office. Just provide some basic info, like your estimated credit score and where you are in the mortgage process, and a loan officer will reach out to you with your options, rates and terms.

If you like the rates and terms you get, you can move forward with the application process. You can also get a certified preapproval letter and lock in your rate for 90 days through the company’s “Ready, Set, Home!” and “Lock and Shop” programs.

Your loan officer will be your single point of contact throughout the application process, and they will pull your credit report and ask you for information about the property you want to purchase and documentation for your finances.

If you choose to use the MyUHM app, you can scan documents using the camera on your phone, or you can upload files directly. After everything is submitted, your loan officer will verify your qualifying rate and terms.

Depending on your loan type and the state you live in, you may be able to review and sign your closing documents online. Once your loan is closed, UHM will check in once a year to see if you are interested in refinancing.

Union Home Mortgage application features

Union Home Mortgage’s loan products include:

• Conventional loans
• FHA loans
• VA loans
• USDA loans
• Combined purchase and renovation conventional loans
• New-construction loans (conventional, FHA and VA options)

UHM says it offers several term options on conventional loans, though it doesn’t disclose details.

The good news is once you’ve gone through the application process with Union Home Mortgage, chances are very good that your loan will close. The company only denied about 2% of all applications in 2021, which is far below the industry average of about 8%.

Loan applications for home purchases only by year

Refinancing

In 2019, refinancing existing mortgages accounted for about a quarter of Union Home Mortgage’s closed loans, but these loans made up about half of its total originations in 2020. Refinancing got more popular across the mortgage industry as rates hit historic lows in 2020 and 2021 and borrowers rushed to lock in lower rates.

Refinancing is expected to become less popular due to rate increases in 2022, but it’s still worth considering if you can lock in a rate that’s at least 1% lower than the rate you currently have. Refinancing comes with closing costs, though, so be sure to figure those into your calculations before you decide to take out a new loan.

Home purchase vs. refinance loans by year

Union Home Mortgage doesn’t publish its loan requirements, so you will need to contact the company directly to find out how much mortgage you can afford.

Typically, you will need a credit score of at least 620 for a conventional mortgage, and lenders generally require a down payment that’s at least 3% of the loan amount (most down payments on conventional loans are considerably higher).

For FHA loans, credit score minimums start as low as 500 if you’re able to make a 10% down payment. If your credit score is 580 or above, you may be able to put down as little as 3.5% on an FHA loan, though.

There is generally no down payment required for VA and USDA loans. Minimum credit scores on these loan types vary by lender.

National mortgage requirements by type

For more information on other loan types, see our guides on jumbo loans, HELOCs and home equity loans.

Union Home Mortgage doesn’t publish its fees, but once you apply, you will receive a Loan Estimate that lists all the fees and costs you can expect to pay at closing.

Closing costs for a home purchase loan generally equal 2% to 5% of the loan amount. Closing costs include fees for things like underwriting, loan origination, appraisals and title searches as well as possible mortgage insurance and homeowners insurance premiums.