This is an acronym for Loan to Value.
The loan-to-value (LTV) proportion is a money related term utilized by moneylenders to express the proportion of a loan to the worth of an asset obtained. The term is normally utilized by banks and building social orders to speak to the proportion of the main home loan line as a level of the aggregate assessed value of the genuine property. The higher the LTV proportion, the riskier the loan is for a moneylender.
The valuation of a property is commonly evaluated by a surveyor, yet a superior measure is a safe exchange between an eager lender and a ready dealer. Commonly, banks will use the lesser of the evaluated value and price tag if the buy is "later."