Loan-to-Value (LTV) Calculator
See what share of your home’s value is borrowed. Lenders use LTV to price mortgages and decide whether you pay mortgage insurance.
Your numbers
Your results
Loan-to-Value (LTV) Calculator by TheCalcTools
How the Loan-to-Value (LTV) Calculator works
Enter the home’s value and what you owe on the mortgage. Add a second mortgage or home equity line to see the combined LTV (CLTV), which lenders use when you borrow against equity.
LTV is the loan divided by the value. A lower LTV means more equity and less risk to the lender, which usually brings better rates. On many conventional loans, an LTV above 80% means you pay private mortgage insurance until your equity grows.
The formula
Worked example
A $350,000 home with a $297,500 mortgage:
| Home value | $350,000 |
|---|---|
| Mortgage | $297,500 |
- LTV = 297,500 ÷ 350,000 = 85.0%.
- Equity = $350,000 − $297,500 = $52,500.
- At this LTV the typical outcome is: pmi likely.
Result:
| Loan-to-value (LTV) | 85.0% |
|---|---|
| Combined LTV (CLTV) | 85.0% |
| Your equity | $52,500 |
| Typical outcome | PMI likely |
Frequently asked questions
What is a good LTV?
80% or lower is the usual target for conventional loans, because it generally avoids PMI and unlocks better pricing. Some programmes allow much higher LTVs.
How do I lower my LTV?
Make a bigger down payment, pay down the loan, or wait for the home value to rise. A new appraisal can show your current value.
What is the difference between LTV and CLTV?
LTV counts only the first mortgage. CLTV adds other loans secured by the home, such as a second mortgage or HELOC.
How is LTV used when buying?
Your down payment sets the starting LTV. Use the mortgage payment estimator to see the payment with and without PMI.
Sources and further reading
Related calculators
More in Real Estate · All calculators
This calculator gives estimates for information only. It is not financial advice, and your lender's or provider's figures will govern. Rates, fees and rules vary. See our disclaimer.