Avatar's Blog

» LTV - Fiction & Reality

Posted on 10/1/2004
LTV means "loan to value". The lender will determine the "value" of a property by the actual selling cost. Appraisals may provide a much higher number. However, in the event you default on the loan, the lender will have to sell the building quickly - probably at or below the great price you are paying for it today.

Be prepared to work with a loan that is a reasonable percentage of the actual purchase price of your property.
Posted in Miscellaneous