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Mortgage LTV estimate
Loan-to-Value Calculator
Work out your loan-to-value percentage from a property value and mortgage amount, or calculate it from your deposit.
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- ✓LTV from mortgage amount or deposit amount
- ✓Shows equity, deposit % and LTV band
- ✓Useful for buying, moving and remortgaging
Calculate your loan-to-value
Enter the property value and either the mortgage amount or deposit amount. The calculator shows your LTV, equity and mortgage band.
How to use this calculator
- Enter the property value or expected purchase price.
- Choose whether you want to calculate from loan amount or deposit amount.
- Enter the mortgage balance, loan amount, deposit or equity.
- Review the LTV percentage and common LTV band.
Loan-to-value formula
If using loan amount:
ltv = loan_amount / property_value × 100
equity = property_value - loan_amount
If using deposit amount:
loan_amount = property_value - deposit
ltv = loan_amount / property_value × 100
equity_percent = 100 - ltv
LTV shows how much of the property value is covered by the mortgage. The remaining percentage is your deposit or equity.
Loan-to-value
90.00%
Your mortgage is 90.00% of the property value.
Loan amount
£270,000.00
The mortgage amount used in the LTV calculation.
Deposit / equity amount
£30,000.00
Property value minus mortgage amount.
Deposit / equity percentage
10.00%
The share of the property not covered by the mortgage.
Common LTV band
90% LTV
This is a common mortgage pricing band used for comparison.
90% LTV
10% equity
Higher LTV usually means a smaller deposit or less equity, which can affect the mortgage deals available.
Ready to act on your result?
Once you know your LTV band, compare mortgage deals to see how your deposit or equity position may affect your options.
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What your LTV result means
Your loan-to-value percentage shows the mortgage balance as a share of the property value. A 90% LTV means the mortgage covers 90% of the property and the remaining 10% is deposit or equity.
Your deposit or equity percentage is the opposite side of the calculation. If your LTV is 75%, your deposit or equity is 25% of the property value.
The LTV band gives a rough way to compare mortgage options. Mortgage deals are often grouped around bands such as 60%, 75%, 80%, 85%, 90% and 95% LTV.
Check the valuation: lenders normally use their own valuation, not just your estimate. If the lender valuation is lower, your LTV can be higher than expected. An agreement in principle can give an early indication of what a lender may offer.
How loan-to-value works
Loan-to-value is one of the simplest mortgage calculations. It compares the size of the mortgage with the value of the property.
If you are buying a home, the loan amount is usually the purchase price minus your deposit. If you are remortgaging, the loan amount is usually your current mortgage balance, while the property value is based on the current valuation.
LTV matters because it gives lenders a quick view of risk. A lower LTV means the borrower has more deposit or equity in the property, which gives the lender a larger buffer if the property value falls.
A higher LTV does not automatically mean you cannot get a mortgage, but it can affect the number of deals available, the rate offered and the size of deposit required.
LTV can change over time. It can fall when you repay a repayment mortgage, when property value rises, or when you make overpayments. It can rise if the property value falls or if the mortgage balance stays high.
What affects your loan-to-value
- Property value: A higher property valuation reduces LTV if the mortgage balance stays the same.
- Mortgage amount: A larger mortgage increases LTV because more of the property value is funded by borrowing.
- Deposit size: A bigger deposit lowers LTV on a property purchase.
- Equity: More equity lowers LTV when you remortgage.
- Overpayments: Paying down the mortgage faster can reduce LTV over time.
- Property price changes: Falling property values can increase LTV, even if you have not borrowed more.
- Lender valuation: Your lender may value the property differently from your estimate or asking price.
Loan-to-value calculator FAQs
What does loan-to-value mean?
Loan-to-value, often shortened to LTV, means the mortgage loan shown as a percentage of the property value. For example, a £270,000 mortgage on a £300,000 property is 90% LTV.
How do I calculate LTV?
Divide the mortgage amount by the property value, then multiply by 100. If the loan is £300,000 and the property is worth £400,000, the LTV is 75%.
Is a lower LTV better?
Usually, yes. A lower LTV means you have more deposit or equity, which can improve your mortgage options. It does not guarantee approval because lenders still check income, credit history and affordability.
What is 90% LTV?
A 90% LTV mortgage means the mortgage is 90% of the property value. The remaining 10% is your deposit if you are buying, or your equity if you already own the property.
Can LTV be over 100%?
Yes. If the mortgage balance is higher than the property value, the LTV is above 100%. This is often called negative equity.
Does LTV affect remortgaging?
Yes. Your LTV can affect which remortgage deals are available, including fixed-rate mortgage options. Paying down the balance or a higher property valuation can move you into a lower LTV band.
Key terms used in this calculator
These terms explain the mortgage and property concepts behind the calculation.