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Loan To Value Ratio (LTV Ratio)

Definition - What does Loan To Value Ratio (LTV Ratio) mean?

A loan to value ratio is the difference between the amount borrowed against a property and the value of the property. In many states, there is a legal obligation for the LTV to be less than 100%.

Justipedia explains Loan To Value Ratio (LTV Ratio)

A loan to value ratio will determine when a borrower is able to remortgage and the amount that they are able to receive.

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