Question

3. Find the loan-to-value ratio for a home appraised at $583,620.00 that the buyer will purchase for $585,000.00. The buyer plans to make a down payment of $175,000.00

Answer 1

Step-by-step explanation:

The loan-to-value ratio is the amount of the mortgage compared with the value of the property. It is expressed as a percentage. If you get an $80,000 mortgage to buy a $100,000 home, then the loan-to-value is 80%, because you got a loan for 80% of the home's value.