BDO vs UnionBank Home Loan: Rate Comparison
Here is a direct comparison of the key home loan rates offered by BDO Unibank and UnionBank, both of which are Nook partner banks. These rates are current as of the time of writing but are subject to change — always verify the latest rates before making a decision.
| Feature | BDO Unibank | UnionBank |
|---|---|---|
| 1-Year Fixed Rate | 6.00% p.a. | 7.00% p.a. |
| Home Equity Rate | 6.00% p.a. | 7.00% p.a. |
| Min. Monthly Income | ₱50,000 | ₱30,000 |
| Max. Debt-to-Income Ratio | 40% | 50% |
| Typical Approval Time | ~30 days | Varies |
BDO's rate advantage is clear, but UnionBank's looser eligibility thresholds mean more borrowers can qualify. Both banks are accessible through Nook at no cost to you.
Monthly Repayment Comparison
To illustrate the real-world difference between these two rates, here are estimated monthly repayments for a ₱3,000,000 home loan over 20 years at each bank's 1-year fixed rate. Note that after the fixed period, rates will reprice — these figures are for the fixed period only.
| Loan Amount | BDO @ 6.00% | UnionBank @ 7.00% | Monthly Savings with BDO |
|---|---|---|---|
| ₱1,500,000 | ₱10,746 | ₱11,628 | ₱882 |
| ₱3,000,000 | ₱21,491 | ₱23,256 | ₱1,765 |
| ₱5,000,000 | ₱35,819 | ₱38,759 | ₱2,940 |
| ₱8,000,000 | ₱57,310 | ₱62,015 | ₱4,705 |
Over a 20-year term on a ₱3,000,000 loan, choosing BDO over UnionBank could save you roughly ₱21,180 in the first year alone. That is money that stays in your pocket — and it is one reason why comparing banks before committing to a refinance matters so much.
Eligible Loan Purposes
Both banks support a wide range of home loan purposes, but BDO has a broader list that includes new construction and pre-selling properties, which UnionBank also supports. Here is a breakdown:
| Loan Purpose | BDO Unibank | UnionBank |
|---|---|---|
| Refinancing | ✅ | ✅ |
| Home Equity | ✅ | ✅ |
| Ready For Occupancy (RFO) | ✅ | ✅ |
| Reselling | ✅ | ✅ |
| Renovation | ✅ | ✅ |
| New Construction | ✅ | ✅ |
| Pre-Selling | ✅ | ✅ |
| Foreclosed Properties | ✅ | ✅ |
Both banks are well-suited for refinancing existing home loans, which is Nook's primary focus. If you are currently paying 7% or more on your mortgage, switching to BDO's 6.00% rate through Nook could produce meaningful long-term savings.
Borrower Eligibility: Who Qualifies?
Eligibility requirements differ between the two banks and could determine which option is right for you.
| Eligibility Factor | BDO Unibank | UnionBank |
|---|---|---|
| Min. Monthly Income | ₱50,000 | ₱30,000 |
| Max. DTI Ratio | 40% | 50% |
| Employed (Private Sector) | ✅ | ✅ |
| Government Employees | ✅ | ✅ |
| BPO Workers | ✅ | ✅ |
| OFW / Seafarers | ✅ | ✅ |
| Self-Employed | ✅ | ✅ |
| Professionals | ✅ | ✅ |
Both banks accept a wide range of employment types, which is great news for OFWs, freelancers, and business owners. If your monthly income is between ₱30,000 and ₱49,999, UnionBank may be your only qualifying option among the two. If you earn ₱50,000 or more and have a low existing debt load, BDO's lower rate is likely the better path. You can also compare BDO against Security Bank to see how eligibility and rates stack up across more lenders.
Why Apply Through Nook?
Nook is the Philippines' first digital mortgage broker, and our service is completely free for borrowers. Instead of approaching BDO and UnionBank separately, filling out multiple application forms, and trying to interpret complex rate sheets on your own, Nook does all of that for you. We compare both banks (and others) against your specific financial profile and match you with the best available rate.
- ✅ 100% free for borrowers — no broker fees, ever
- ✅ Access to multiple partner banks in a single application
- ✅ Expert guidance throughout the loan process
- ✅ Faster processing through established bank relationships
- ✅ Transparent comparison with no hidden agendas
Whether BDO or UnionBank turns out to be the right fit, Nook helps you get there with confidence. If you are also weighing other refinance options, check out our BDO vs Landbank comparison for another popular pairing.
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Compare My Options →Frequently Asked Questions
Which has a lower home loan rate, BDO or UnionBank?
BDO currently offers the lower rate at 6.00% p.a. for a 1-year fixed term, compared to UnionBank's 7.00% p.a. This one percentage point difference can add up to significant savings over the life of your loan. Both rates are subject to change, so confirm the latest figures with Nook before applying.
Can I apply for a home loan at both BDO and UnionBank at the same time?
Yes, and in fact this is one of the advantages of working with Nook. As a mortgage broker, Nook can submit your profile to multiple partner banks simultaneously, allowing you to compare actual offers rather than just advertised rates. You choose the best deal — with no obligation and no broker fee.
What is the minimum income requirement for BDO and UnionBank home loans?
BDO requires a minimum monthly income of ₱50,000, while UnionBank's minimum is ₱30,000. If your household income falls between those two figures, UnionBank may be the more accessible option. Nook can help you determine which bank you are most likely to qualify for based on your complete financial profile.
How long does BDO take to approve a home loan?
BDO typically processes home loan applications within approximately 30 days when complete documentation is submitted. Applying through Nook can help streamline this process, as our team ensures your application is complete and well-prepared before submission.
Does UnionBank allow a higher debt-to-income ratio than BDO?
Yes. UnionBank allows a maximum debt-to-income (DTI) ratio of 50%, compared to BDO's cap of 40%. This means borrowers who have existing debts — such as a car loan or personal loan — may find it easier to qualify at UnionBank, even if BDO offers a better rate.
Can OFWs apply for a home loan at BDO or UnionBank?
Yes, both BDO and UnionBank accept applications from OFWs and seafarers. Nook has experience assisting OFW borrowers navigate the documentation requirements for home loan applications, so do not hesitate to reach out even if you are currently working abroad.
Is Nook's mortgage broker service really free?
Yes, Nook's service is 100% free for borrowers. There are no broker fees, no consultation charges, and no hidden costs. Nook earns through its relationships with partner banks, meaning you get expert guidance and bank comparisons at zero cost to you.
What types of properties can I refinance through BDO or UnionBank via Nook?
Both banks support refinancing of residential properties, as well as loans for RFO units, resale properties, new construction, pre-selling units, renovation, home equity, and foreclosed properties. Nook can help you identify which bank is most suitable based on your specific property type and loan purpose.