Updated about 11 years ago on . Most recent reply
Do investment loans use LTV to determine loan amount?
I am looking into an investment loan from the bank. I know someone who is wanting to sell their property. It appraised at over $120k and they are willing to sell it at $105k. So my question is if the bank is going to give me a loan based on the LTV or LTC. If its LTV shouldn't my downpayment be less than 25% due to the instant equity in the purchase? Any help is appreciated!!