Last updated on March 2nd, 2021 at 03:46 pm
What Does LTV Mean?
LTV is an acronym and the abbreviation stands for ‘Loan To Value’.
It is most commonly used when referring to a mortgage or any other loan secured against a property. The loan to value compares the size of the loan versus the value of the property. This number is a percentage.
Example of LTV
Lets say your are buying a new house for £250,000 and you have a deposit of £75,000.
Value of Property: £250,000
Size of Mortgage: £175,000
LTV: £175,000 / £250,000 x 100 = 70% LTV« Back to Glossary Index