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Loan-to-Value Calculator

Calculate LTV, estimated equity, equity percentage, and an educational combined LTV with a second lien.

Loan-to-Value Inputs

Used for an educational combined loan-to-value estimate.

Results computed instantly — your data never leaves your device.

Loan-to-Value Results

Real-Time

LTV ratio

80.00%

Equity amount

$80,000.00

Equity percentage

20.00%

Combined LTV

80.00%

Lender thresholds, PMI, and approval rules vary by program and jurisdiction.

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How to Use the Loan-to-Value Calculator

  1. 1

    Enter the loan balance or amount.

  2. 2

    Enter the appraised or estimated property value.

  3. 3

    Optionally enter additional liens for a combined LTV estimate.

  4. 4

    Review LTV, equity amount, equity percentage, and CLTV.

Formula & Mathematical Basis

LTV% = loan ÷ property value × 100; equity = property value − loan; CLTV% = (loan + additional liens) ÷ property value × 100.

Variable Key

loan

The first loan amount or balance

property value

The appraised or estimated property value

additional liens

Optional second-lien balances included only in CLTV

📝 This is an educational ratio. PMI, underwriting, rates, and maximum LTV rules differ by product, lender, jurisdiction, and borrower profile.

Step-by-Step Examples

1

Estimate equity from LTV

Scenario: A $320,000 loan is secured by a $400,000 property.

  1. 1.Divide 320,000 by 400,000.
  2. 2.Multiply by 100 for LTV.
  3. 3.Subtract the loan from the property value for equity.
  4. 4.Add any second lien only when reviewing CLTV.
✅ The estimated LTV is 80%, equity is $80,000, and equity percentage is 20% before considering fees or market changes.

Practical Use Cases

  • Understand the relationship between a mortgage and property value.
  • Estimate equity before discussing refinance or home-equity options.
  • Compare first-lien LTV with combined LTV when other liens exist.

Common Pitfalls

  • Using purchase price when the lender uses a different appraisal value.
  • Assuming an 80% threshold guarantees PMI removal or approval.
  • Forgetting second liens when considering total leverage.

Frequently Asked Questions

What does a lower LTV mean?

It generally means the loan is smaller relative to the stated property value, but lender decisions also use credit, income, documentation, and product rules.

Does this calculate PMI?

No. It reports ratios and equity; PMI terms depend on the loan program and lender.

Can property value change the ratio?

Yes. Holding the loan constant, a higher value lowers the ratio and a lower value raises it.

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