loan-to-value
Britishnoun
Example Sentences
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So a question the Fed is considering is whether to calibrate capital requirements for a mortgage to its loan-to-value ratio.
If the loan-to-value ratio exceeds 80%, Ledn automatically liquidates the bitcoin to pay off the loans, giving any leftover proceeds back to the borrower.
Ledn has liquidated 7,493 loans in its seven-year history at a maximum loan-to-value of 85% and has never experienced a loss, according to S&P. About 20% of the borrowers with loans backing the bonds also opted to store extra collateral that can automatically be used to top up their loans if bitcoin’s price falls.
The average loan-to-value ratio at 30% means the borrower can withstand a major market correction before threats of impairment for the lender’s principle.
Homeowners considering refinancing should be aware that falling home prices will have shifted loan-to-value ratios, and homeowners may not have access to as much equity as they might assume, Tran says.
Definitions and idiom definitions from Dictionary.com Unabridged, based on the Random House Unabridged Dictionary, © Random House, Inc. 2023
Idioms from The American Heritage® Idioms Dictionary copyright © 2002, 2001, 1995 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company.