Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

How is the loan to value ratio figured?

April 26, 2017figured loan ratio value

0

10 Posted

How is the loan to value ratio figured?

1 Answer

0

10 Posted

To figure the equity in your home take your home’s current market value on your county property tax valuation notice or appraisal, multiply the value by a maximum of 80% (loan-to-value ratio), then subtract the amount owed on your existing mortgage. The remaining balance would be the maximum amount you are eligible to borrow (subject to credit approval).