### Formula or Equation

LTV | loan-to-value ratio,LTV,LTVR |

MA | mortgage amount,MA |

AVORP | appraised value of real property,AVORP |

LTV | loan-to-value ratio,LTV,LTVR |

MA | mortgage amount,MA |

AVORP | appraised value of real property,AVORP |

The loan-to-value (LTV) ratio is a financial term used by commercial lenders to express the ratio of a loan underwritten to a value of an asset purchased. The term is commonly used by banks and building societies to represent the ratio of the first mortgage lien as a percentage of the total appraised value of real property. For instance, if a borrower borrows $130,000 to purchase a house worth $150,000 at a relative valuation, the LTV ratio is $130,000/$150,000 or 87%.

Mortgage amount (MA)

Appraised value of real property (AVORP)

Loan-to-value ratio (LTV)

Precision

- Wikipedia article: Loan-to-value ratio.
- Loan-To-Value Ratio - LTV Ratio.