Maximum Loan-to-Value Ratio

Definition of "Maximum Loan-to-Value Ratio"

Josephine Jordan real estate agent

Written by

Josephine Jordanelite badge icon

Raritan Bay Realty

The maximum allowable ratio of loan-to- value (LTV) on any loan program. Generally, these are set by mortgage insurers or by lenders and can range up to 100%, although some programs will go above 100%.

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Mortgage Terms

Someone authorized by the original credit card holder to use the holder's card. While authorized users are not responsible for paying any charges, including their own, they are sometimes ...

The option to convert an ARM to an FRM at some point during its life. ...

A clause in the note that allows the lender to demand repayment of the balance in full. A demand clause is even better (for the lender) than an acceleration clause. An acceleration clause ...

Advice on where to go to get a mortgage. A borrower can always select a loan provider by throwing a dart at the Yellow Pages. A referral is of value if it raises the probability of a ...

A lender who specializes in lending to sub-prime borrowers. ...

USDA loans are a form of government-backed financing for both first-time home buyers and move up buyers looking for a second or third property. These loans have little to do with ...

A documentation rule where the borrower discloses assets and their source but the lender does not verify the amount. ...

Rates and points quoted by loan providers. You cannot safely assume that mortgage price quotes are always timely, niche-adjusted, complete, or reliable. Timeliness: Most mortgage lenders ...

The period between payment changes on an ARM, which may or may not be the same as the interest rate adjustment period. ...

Popular Mortgage Questions