At a distance of 1 Km from Yaganti Bus Station, Umamaheswara Swamy (also called Yagantiswamy) temple is an ancient temple dedicated to Lord Shiva.

This temple was constructed by the first Vijayanagara Kings Harihara & Bukka Rayalu in the 15th century according to Vaishnavaite tradition. When a devotee of Lord Shiva was worshipping, Lord Shiva appeared to him as tiger. He understood Lord Shiva's darshan in Tiger form and shouted 'Yaganti Shivanu ne kanti' and danced. Gradually it became Yaganti.

The most amazing feature of this temple is its Pushkarini with very pure water. No one knows how the water flows in & out of Pushkarini in all the seasons. Devotees consider that a bath in the holy Pushkarini before visiting Shiva is highly beneficial.

It is proved that the Nandi idol in front of the temple is continuously increasing its size, at the rate of 1 inch per 20 years. According to Potuluri Veera Brahmam, the Basavanna of Yaganti will come out and shout when Kaliyuga ends.