Is my loan-to-value (LTV) ratio less than 80%?
Your LTV is the relationship between the current outstanding balance of your loan and the collateral’s value. This relationship helps us decide how much you can borrow. This can be applied to any loan type that is tied to a piece of collateral.
If we are talking about home loans, for example;
A HELOC is a Line Of Credit drawn on the Equity built as a home appreciates in value and is being paid down with monthly payments.
You may be eligible for a line of credit if your LTV is less than 80%.

To calculate your LTV, add how much you need for a line of credit to the amount of all debts secured by your home, and then divide that total by your home’s estimated value.

Use this formula to get an idea of your LTV: (A + B)/C = LTV

A = The line of credit amount you need
B = The outstanding balance of your first and second mortgages, if any
C = Your home’s estimated value

The Loan to Value (LTV) is the outstanding loan amount divided by the appraised property value or purchase price.

For a estimated value of your home, check out our home value connection and type in your address. Let us know if you have any trouble with this or have any other questions, we are always here to help.