WHAT IS A LTV?

[Julian Wells]

WHAT DOES LTV AND ATV STAND FOR?

[Jon Holdman]

LTV = loan to value. If a lender says they will do an 80% LTV loan, that means the will lend you 80% of the "value". The next question is, "what is the value". On a normal purchase money loan, that is, a loan to purchase a property, the "value" is typically the lower of the appraised value or the purchase price.

Do you mean "ARV"? Not sure what ATV would be in this context. ARV is after repaired value. That's the value the property would be worth after you did some fixup.

A hard money lender might say they would do a 65% LTV loan based on the ARV. That means you would write down a list of repairs you would, then an appraiser would figure out what the property would sell for after those repairs were complete. Then, the lender would loan you 65% of that amount. If that's more than the purchase price, you'll have money to do the rehab.

By the way, all caps is considered shouting. No need to shout.