Combination loan-to-value (CLTV)

Combination loan-to-value (CLTV),

Definition of Combination loan-to-value (CLTV):

  1. Ratio measure of a propertys worth as a collateral for refinancing a larger loan. It is computed by dividing the unpaid balance(s) on the present loan(s) secured by the property by the propertys assessed value. Higher the CLTV ratio, the lower the propertys attractiveness as a collateral. Formula: Unpaid loan balance(s) secured by the property ÷ propertys assessed value.

Meaning of Combination loan-to-value (CLTV) & Combination loan-to-value (CLTV) Definition