{
  "id": "ltv",
  "version": "55e57f943bf5",
  "status": "published",
  "name": "LTV Calculator",
  "question": "What is my LTV ratio?",
  "summary": "Finds a mortgage’s loan-to-value ratio (LTV), the combined LTV with a second loan, your equity, and the largest loan or the extra down payment for a target LTV such as 80%.",
  "category": "finance",
  "subcategory": "mortgage-and-real-estate",
  "url": "https://www.acalculator.org/finance/ltv-calculator",
  "markdown": "https://www.acalculator.org/finance/ltv-calculator.md",
  "kind": "function",
  "method": "LTV = mortgage ÷ value × 100; CLTV = (mortgage + other loans) ÷ value × 100; value = the appraisal, or the lower of the price and the appraisal. Largest mortgage at a target = target × value − other loans.",
  "assumptions": [
    "On a purchase, the value is the lower of the price and the appraised value, as for PMI rules.",
    "The PMI line is a rule of thumb for conventional loans: 80% LTV is a 20% down payment. FHA, VA and USDA loans have their own rules.",
    "Lenders set their own LTV limits; this page shows the ratios, not a loan offer."
  ],
  "inputs": {
    "$schema": "https://json-schema.org/draft/2020-12/schema",
    "type": "object",
    "properties": {
      "v": {
        "title": "Appraised value",
        "description": "What the home is worth: its appraised value.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 1,
        "maximum": 10000000000
      },
      "pp": {
        "title": "Purchase price",
        "description": "Optional: the price, when you are buying. The lower of the price and the appraisal is used.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 1,
        "maximum": 10000000000
      },
      "l": {
        "title": "Mortgage amount",
        "description": "The amount you borrow, or still owe, on the first mortgage.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 10000000000
      },
      "o": {
        "title": "Other loans on the home",
        "description": "Optional: a second mortgage, home equity loan or HELOC balance.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 10000000000
      },
      "t": {
        "title": "Target LTV",
        "description": "The LTV you want to reach; 80% is the usual line for avoiding PMI on a conventional loan.",
        "type": "number",
        "x-unit": "percent",
        "minimum": 1,
        "maximum": 125
      }
    }
  },
  "outputs": {
    "ltv": {
      "label": "Loan-to-value (LTV)",
      "description": "Mortgage amount ÷ home value × 100.",
      "format": "percent"
    },
    "cltv": {
      "label": "Combined LTV (CLTV)",
      "description": "All the loans on the home ÷ home value × 100.",
      "format": "percent"
    },
    "basis": {
      "label": "Value used",
      "description": "The appraisal, or the lower of the price and the appraisal.",
      "format": "money"
    },
    "equity": {
      "label": "Equity",
      "description": "Value used minus all the loans on the home (negative when you owe more than it is worth).",
      "format": "money"
    },
    "down": {
      "label": "Down payment or equity share",
      "description": "100% minus the combined LTV (negative when you owe more than the home is worth).",
      "format": "percent"
    },
    "maxLoan": {
      "label": "Largest mortgage at the target",
      "description": "Target LTV × value used, less any other loans: the most the first mortgage can be.",
      "format": "money"
    },
    "reduce": {
      "label": "To reach the target, lower the mortgage by",
      "description": "How much more down payment, or how much to pay down, for the target; $0 when you are there.",
      "format": "money"
    },
    "pmi": {
      "label": "PMI on a conventional loan",
      "description": "Above 80% LTV (less than 20% down) a conventional loan usually needs private mortgage insurance.",
      "format": "text"
    }
  },
  "defaultAnswer": {
    "inputs": {
      "v": 400000,
      "l": 340000,
      "t": 80
    },
    "outputs": {
      "ltv": 85,
      "cltv": 85,
      "basis": 400000,
      "equity": 60000,
      "down": 15,
      "maxLoan": 320000,
      "reduce": 20000,
      "pmi": "usually required (LTV above 80%)"
    },
    "text": "Your loan-to-value ratio is 85%, and PMI is usually required (LTV above 80%)."
  },
  "examples": [
    {
      "given": {
        "v": 400000,
        "l": 340000,
        "t": 80
      },
      "expect": {
        "ltv": 85,
        "cltv": 85,
        "equity": 60000,
        "down": 15,
        "maxLoan": 320000,
        "reduce": 20000,
        "pmi": "usually required (LTV above 80%)"
      },
      "source": "CFPB, What is a loan-to-value ratio and how does it relate to my costs? (LTV compares the amount you are financing with the appraised value of the property; a higher down payment gives a lower LTV; lenders use it to decide on PMI and price), https://www.consumerfinance.gov/ask-cfpb/what-is-a-loan-to-value-ratio-and-how-does-it-relate-to-my-costs-en-121/ (retrieved 2026-10-02); CFPB, What is private mortgage insurance? (PMI may be required on a conventional loan with a down payment of less than 20 percent of the purchase price), https://www.consumerfinance.gov/ask-cfpb/what-is-private-mortgage-insurance-en-122/ (retrieved 2026-10-02); hand calculation in content.mdx: 340,000 ÷ 400,000 = 85%; 80% × 400,000 = 320,000"
    },
    {
      "given": {
        "v": 310000,
        "pp": 300000,
        "l": 240000,
        "t": 80
      },
      "expect": {
        "basis": 300000,
        "ltv": 80,
        "reduce": 0,
        "pmi": "usually not required (LTV 80% or less)"
      },
      "source": "CFPB, When can I remove private mortgage insurance (PMI) from my loan? (original value is the contract sales price or the appraised value at purchase, whichever is lower; PMI can be cancelled at 80 percent and ends at 78 percent of it), https://www.consumerfinance.gov/ask-cfpb/when-can-i-remove-private-mortgage-insurance-pmi-from-my-loan-en-202/ (retrieved 2026-10-02); CFPB, What is private mortgage insurance? (PMI may be required on a conventional loan with a down payment of less than 20 percent of the purchase price), https://www.consumerfinance.gov/ask-cfpb/what-is-private-mortgage-insurance-en-122/ (retrieved 2026-10-02); hand calculation in content.mdx: 240,000 ÷ 300,000 = 80%"
    },
    {
      "given": {
        "v": 500000,
        "l": 300000,
        "o": 100000,
        "t": 85
      },
      "expect": {
        "ltv": 60,
        "cltv": 80,
        "equity": 100000,
        "maxLoan": 325000,
        "reduce": 0
      },
      "source": "CFPB, What is a loan-to-value ratio and how does it relate to my costs? (LTV compares the amount you are financing with the appraised value of the property; a higher down payment gives a lower LTV; lenders use it to decide on PMI and price), https://www.consumerfinance.gov/ask-cfpb/what-is-a-loan-to-value-ratio-and-how-does-it-relate-to-my-costs-en-121/ (retrieved 2026-10-02); hand calculation in content.mdx: (300,000 + 100,000) ÷ 500,000 = 80%; 85% × 500,000 − 100,000 = 325,000"
    },
    {
      "given": {
        "v": 250000,
        "l": 275000,
        "t": 80
      },
      "expect": {
        "ltv": 110.00000000000001,
        "equity": -25000,
        "reduce": 75000
      },
      "source": "CFPB, What is a loan-to-value ratio and how does it relate to my costs? (LTV compares the amount you are financing with the appraised value of the property; a higher down payment gives a lower LTV; lenders use it to decide on PMI and price), https://www.consumerfinance.gov/ask-cfpb/what-is-a-loan-to-value-ratio-and-how-does-it-relate-to-my-costs-en-121/ (retrieved 2026-10-02); hand calculation in content.mdx: 275,000 ÷ 250,000 = 110%; 275,000 − 200,000 = 75,000"
    }
  ],
  "sources": [
    "CFPB, What is a loan-to-value ratio and how does it relate to my costs? (LTV compares the amount you are financing with the appraised value of the property; a higher down payment gives a lower LTV; higher-LTV borrowers usually get a higher rate and may need PMI). https://www.consumerfinance.gov/ask-cfpb/what-is-a-loan-to-value-ratio-and-how-does-it-relate-to-my-costs-en-121/ (retrieved 2026-10-02)",
    "CFPB, What is private mortgage insurance? (PMI may be required on a conventional loan with a down payment of less than 20 percent of the purchase price). https://www.consumerfinance.gov/ask-cfpb/what-is-private-mortgage-insurance-en-122/ (retrieved 2026-10-02)",
    "CFPB, When can I remove private mortgage insurance (PMI) from my loan? (original value is the contract sales price or the appraised value at purchase, whichever is lower; you can ask to cancel PMI at 80 percent and it ends at 78 percent of the original value). https://www.consumerfinance.gov/ask-cfpb/when-can-i-remove-private-mortgage-insurance-pmi-from-my-loan-en-202/ (retrieved 2026-10-02)"
  ],
  "related": [
    "home-equity",
    "pmi",
    "down-payment",
    "mortgage"
  ],
  "changelog": []
}