LTV (Loan-to-Value) is the loan amount divided by the property's current value (or purchase price for purchases). Expressed as a percentage. For example, a $300k loan on a $400k property = 75% LTV.
LTV is the primary leverage metric for stable rental and bridge loans. The desk's network typical caps: DSCR purchase up to 80% LTV, DSCR refinance up to 75% LTV, bridge 65–75% LTV.
Higher LTV → higher risk to the lender → higher rate and stricter reserves. At 80% LTV, DSCR programs typically require 9–12 months of PITIA in liquid reserves vs. 6 months at 65% LTV.