Toolsloft

LTV Calculator

Calculate loan to value and combined LTV ratios and see whether PMI is likely. Free and accurate.

Independently verified for accuracy

Calculator by Toolsloft ↗
LTV (%)
80
Combined LTV (%)
80
PMI likely
No

This calculator finds your loan to value ratio, the size of a mortgage compared with the property value. Lenders use it to price loans and to decide whether private mortgage insurance is required. It also shows the combined ratio when a second loan is present.

How this is calculated

LTV is the loan amount divided by the property value, expressed as a percentage. Combined LTV (CLTV) adds any second loan or line of credit to the numerator. On conventional loans, an LTV above 80 percent usually triggers private mortgage insurance.

How to use

  1. Enter the primary loan amount.
  2. Enter the property value or purchase price.
  3. Enter any second loan or line of credit, or leave it at zero.
  4. Read your LTV, combined LTV, and the PMI flag.

Examples

  • $240,000 loan on $300,000 home: LTV 80%
  • $270,000 loan on $300,000 home: LTV 90%, PMI likely

FAQ

What does loan to value ratio mean?
It is the loan amount divided by the property value, shown as a percentage. A $240,000 loan on a $300,000 home is an 80 percent LTV. Lower ratios mean more equity and usually better loan terms.
When does PMI apply?
On most conventional loans, an LTV above 80 percent means private mortgage insurance is required until the balance falls back to that level. This calculator flags PMI as likely whenever LTV exceeds 80 percent.
What is combined LTV?
Combined LTV (CLTV) adds any second mortgage or home equity line to the first loan before dividing by the property value. Lenders review it when there is more than one loan against the property.

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