# Loan-to-Value Calculator

> Find your loan-to-value and combined LTV ratio, your equity, and the largest loan that fits a target LTV such as 80%.

Category: Real estate · Applies to: Worldwide · Last updated: 2026-10-29
Interactive calculator: https://calculators.geekmidst.com/calculators/loan-to-value-calculator

Loan-to-value (LTV) is the mortgage as a percentage of the property’s value. Lenders use it to set rates, deposits and mortgage insurance, usually on the lower of the price and the appraisal.

Also called: LTV calculator, LTV ratio calculator.

## Inputs
- Appraised value (default 420000)
- Purchase price (if buying) (default 400000; optional)
- Loan amount (default 340000)
- Other loans secured on the property (default 0; optional)
- Target LTV (unit %; default 80)
- Currency

## Results
- Loan-to-value
- Combined LTV (all loans)
- Value used
- Your equity
- Largest loan at the target LTV
- Room under the target (negative = reduce the loan by)

## Formula

```
Value used = min(Price, Appraisal);  LTV = Loan ÷ Value × 100;  CLTV = (Loan + Other loans) ÷ Value × 100;  Max loan = Value × Target LTV
```

Where:
- Loan: the first mortgage
- Other loans: second charges, home-equity loans or lines secured on the same property

## Worked example
1. Value used = lower of $400,000 and $420,000 = $400,000.
2. LTV = 340,000 ÷ 400,000 = 85%.
3. At 80%, the largest loan is $320,000, so borrow $20,000 less to reach it.

**Result:** A $340,000 loan on a $400,000 purchase is an 85% LTV; an extra $20,000 deposit would bring it to 80%.

## What the result means

Lower LTV generally means a cheaper rate and less risk of negative equity. Lenders price in bands, so check whether a small extra deposit moves you below a threshold.

## Assumptions and limits
- The value used is the lower of the purchase price and appraisal when both are entered, which is common lender practice.
- LTV thresholds, insurance requirements and maximums vary by lender, product and country; enter the target that applies to you.

## Questions

### What is the difference between LTV and CLTV?

LTV counts only the first mortgage. Combined LTV adds every loan secured on the property, such as a home-equity line.

### Why does the lender use the lower of price and appraisal?

Lenders lend against what they can be confident the property is worth. Paying above the appraisal means you fund the gap yourself.

## Related calculators
- [Mortgage Calculator](https://calculators.geekmidst.com/calculators/mortgage-calculator)
- [Closing Cost Estimate Calculator](https://calculators.geekmidst.com/calculators/closing-cost-estimate-calculator)
- [Debt Service Coverage Ratio Calculator](https://calculators.geekmidst.com/calculators/debt-service-coverage-ratio-calculator)
- [Percentage Calculator](https://calculators.geekmidst.com/calculators/percentage-calculator)

_This calculator gives estimates for planning. It is not financial advice, and lenders’ actual terms, fees and rounding may differ._

Source: GM¹X CalcVerse — https://calculators.geekmidst.com/calculators/loan-to-value-calculator