top of page

Loan-to-Value Ratio (LTV)

Loan-to-Value Ratio (LTV) is a financial term used by lenders to assess the risk of a loan. It represents the ratio of a loan amount to the appraised value or purchase price of the asset being financed, typically real estate. LTV is expressed as a percentage and is an important factor in determining whether a borrower will qualify for a loan and the terms of the loan.

bottom of page