what is ltv

LTV is the Loan-To-Value ratio, which simply is the ratio of the loan amount divided by the value of the property. For example, if you wanted to finance $80,000 on a property that was being sold at an appraised value of $100,000, your LTV would be 80%.Additionally, if the sales price and the appraised value are different, lenders will use the lower of the two. To add to the above example, let's say the value of the property is $100,000 and the sales price is $160,000. If we are still financing $80,000, the LTV is still going to be $80% (divide the 80,000 by the lower of the price and appraisal, which is 100,000, so 80,000/100,000).Hopefully this answers your question clearly. If you have further questions, ask away!

Loan-to-Value... A percent of what the loan will be versus what the property is worth.

LTV stands for Loan To Value. It basically tells you how much equity you have in your home and the lender how much risk they have in the loan. Lenders will have different restrictions on what they will accept for a max LTV depending on credit, loan program, occupancy etc. LTV can also effect your interest rate if you are obtaining a home loan. The higher the LTV, the higher the risk to the lender and the less equity you have in your home. To figure out your loan to value, take your loan balance and divide it by how much the home is worth. The difference will be how much equity you have in the home.

LTV stands for loan-to-value. The loan-to-value ratio of a property is calculated by dividing the loan amount with the current value of a property. Ideally you want to have a LTV ratio of 80 percent or less. The lower the LTV is, then the more equity you have in your home.

LTV is the ratio of the loan amount to the property value (or to the appraisal value, if used, and that value is less than the property purchase amount).