What is a Loan to Valuation Ratio (LVR)?

| | 0 minute Less than a minute read

Loan to Valuation Ratio is a percentage that is calculated by dividing the amount of the loan by the purchase price or appraised value of the mortgaged property. This is usually a key indicator of risk to a lender when considering a lending scenario. Typically no higher than 60% for LoDoc Loans, no higher than 80% without Lender Mortgage Insurance, and no higher than 97% for mainstream lenders.

Add a Comment

Helen is Head of Content at uno - the smarter, faster way to get a better home loan.

Buying FAQs Investing Refinancing

You might also be interested in

How I achieved my Great Australian Dream – with Leonie Fitzgerald, founder of Wealthology

An insurance payout at 11 landed Leonie Fitzgerald enough money to go halves in her first property at age 18. But it wasn’t all smooth sailing from there. In the first of uno’s Great Australian Dream series, we chat to the investment strategist about her property highs and lows.

Six common questions about the First Home Owners Grant

uno adviser, Kristie Oldfield, fields questions about the First Home Owners Grant on a daily basis. Here, she breaks down the six most common questions she gets asked, and answers them for you.

If your new year’s resolution is to save more money, try switching your interest rate

Forty per cent of Aussie mortgage holders don’t know the interest rate they’re paying on their home loan and are likely to be paying off their mortgage at a much higher rate than they should be.