Loan-to-Value (LTV) ratio is the percentage of the property value that a bank can finance. Learn how it affects your home loan eligibility.
Why it matters for lending
Banks and NBFCs use these metrics to keep risk within policy limits. Understanding LTV, FOIR, and how they interact helps you qualify customers faster and explain decisions clearly.
How policies define the rules
Credit policy documents spell out maximum LTV by segment, FOIR thresholds, minimum income, and CIBIL requirements. An AI policy copilot can read these documents and answer eligibility questions in plain language.
Example: LTV calculation
Property value ₹50L, loan ₹40L → LTV = 80%.
| Property value | Loan amount | LTV |
|---|---|---|
| ₹50,00,000 | ₹40,00,000 | 80% |
| ₹45,00,000 | ₹35,00,000 | 78% |
| ₹60,00,000 | ₹50,00,000 | 83% |
Check your eligibility
Use our eligibility calculator to see how LTV and FOIR apply to your scenario.
Try Eligibility Calculator