Search
  • Skyward Financial

What does 'LVR' mean?

The 'Loan - to - Value - Ratio' or abbreviated to 'LVR' is the percentage of borrowed money to the value of a property.


For example...


If you have a deposit of $75,000 (excluding Stamp Duty, which is a Government charge that needs to be paid) and you buy a property valued at $750,000 then you have an 'LVR' of 90%.


This is because you have 10% ($75,000) deposit of the purchase price ($750,000).


If you have less than 80% 'LVR' then often banks will waive 'LMI' (Lenders Mortgage Insurance).


However, if you have 10% or less as a deposit lenders will often require you to take out 'LMI' which is an addtional cost.


Speak to Skyward Financial to see how much you could borrow and calculate your 'LVR'


  • Black Facebook Icon
  • LinkedIn - Black Circle
  • Black Instagram Icon
  • Black Twitter Icon

Skyward Financial Pty Ltd ACN 620 915 675 is Authorised Credit Representative 506871 of Australian Credit License 390261