LTV (Loan-to-Value)
LTV is the loan amount expressed as a percentage of the property's value. Lenders cap it — commonly up to about 75–90% depending on the loan size — so the remainder must come from your own down payment.
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Loan-to-Value, or LTV, is one of the first numbers a lender works out when you apply for a secured loan such as a home loan. It compares how much you want to borrow against the assessed value of the property. A higher LTV means you are borrowing more of the property’s worth and putting in less of your own money up front.
Lenders set a ceiling on LTV rather than funding the full price. In India this commonly sits in the region of 75–90%, with the cap usually tighter for larger loan amounts and more generous for smaller ones. These are general guidelines and the exact limit depends on the lender’s policy, the property type, and your profile, so confirm with your lender before you plan your finances.
Whatever the lender will not cover, you fund yourself. That gap is your down payment, and it sits alongside other eligibility checks like your FOIR. A larger contribution lowers the LTV, which can work in your favour during approval.
Worked example. On a ₹50,00,000 property at 80% LTV, the loan is ₹40,00,000 and the down payment you arrange is ₹10,00,000. Once you know the sanctioned amount, the home loan calculator helps you estimate the EMI for it. Figures here are estimates for illustration only.