LTV
Loan-to-Value Ratio
The ratio between the amount of a loan and the value of the property securing it.
Detailed Explanation
Loan-to-Value Ratio, commonly abbreviated as LTV, compares the loan amount with the assessed or applicable value of the property. Lending limits and eligibility can vary according to lender policies and regulations.
In Plain Terms
LTV tells you how much of the property's value is being financed through a loan. A higher LTV generally means you are borrowing a larger percentage of the property's value.
LTV is expressed as a percentage and lending limits vary according to lender policies and applicable regulations.
Related Terms
This definition is provided for general informational purposes only and is not legal, financial or tax advice. Property rules and authority policies can change — verify current requirements with the relevant authority or a qualified professional.