It’s simple! The Loan to Value ratio (LTV) calculation is broken down as follows:
Loan Balance ($) ÷ Value of Collateral ($) = LTV (%)
We have performed extensive risk modeling and determined that our LTVs are sufficiently conservative — in order to have a limited number of expected trigger events and provide our clients with breathing room in the event of market volatility. The LTV ratios protect you and us.