Loan to Value (LTV) Calculator

Calculate your Loan-to-Value ratio to determine borrowing limits, PMI requirements, and interest rate eligibility.

LOAN-TO-VALUE RATIO

80.0%

Down payment: $100,000 (20.0%)

Understanding LTV Ratio

LTV = (Loan Amount รท Property Value) ร— 100. A lower LTV means less risk for the lender, which translates to better rates and terms for you.

  • LTV โ‰ค 80%: No PMI required, best rates available
  • LTV 80-90%: PMI required, slightly higher rates
  • LTV 90-95%: PMI required, limited lender options
  • LTV > 95%: Very few lenders, highest rates

Loan to Value (LTV) Calculator FAQ

๐Ÿ“˜ Key Term

LTV RatioLoan-to-Value ratio โ€” the percentage of the property/asset value that a bank will finance. For home loans: up to 90% for properties โ‰คโ‚น30L, 80% for โ‚น30-75L, and 75% for >โ‚น75L. The remaining amount is your down payment.Read full definition โ†’