2007-02-20 07:47:17 · 4 answers · asked by autumn 5 in Business & Finance ➔ Renting & Real Estate
It is Combined loan to value. It is used when you have two loans on the proprty. EX. an 80% loan and a 20% loan have a CLTV=100%.
2007-02-20 07:51:40 · answer #1 · answered by Ron B 3 · 2⤊ 0⤋
CLTV means Closing Loan to Value. Alow me to explain. If you are purchasing a home for 100,000. You take a first loan with an investor at 80& LTV (Loan to Value). Because so many people charge high fees for a second mortgage, you decide to take out the additional monies needed for your purchase from your local bank in the amount of 20,000. You now have an 80% LTV with your first mortgae and a 100% CLTV (Closing loan to value) with your second mortgage. Occassionally this is a wise decision as it also keeps one from having to pay a mortgage insurance premium which is above .60% of the loan amount. Mortgage Insurance premium is a fee charged for a single loan that provides 100% Loan to value.
2007-02-20 08:19:37 · answer #2 · answered by mcandrea2001 2 · 0⤊ 0⤋
Actually this is your closing loan to value. Example: Your purchase price is $100,000. Your loan amount is $80,000. This makes your LTV 80%. If you carry a second mortgage (combo loan) of $20,000 this will make your CLTV 100%. So on your first loan you will have 80% LTV with 100% CLTV. The second is reflected in the CLTV. The second loan would be 20% LTV and 100% CLTV.
2007-02-20 08:00:13 · answer #3 · answered by yourstruly_76 1 · 0⤊ 1⤋
CLTV is combined loan to value of all liens e.g. your 1st mortgage and a HELOC ....
2007-02-20 07:57:05 · answer #4 · answered by boston857 5 · 0⤊ 0⤋