Loan to Value Calculator

< 80% is traditional "safe"; gets best rates and no PMI. 80–95% has PMI or rate premium. > 95% rare and expensive. Lower LTV = lower lender risk = better terms for you.

Appraisal is critical. Buy $300k house with $60k down (20%). If appraisal comes in low ($280k), your LTV jumps to 71.4% ($240k loan). Low appraisal = lower offer negotiation.

Yes, two ways: (1) Pay down principal. (2) Home appreciates, raising denominator. Home value up 5%, you've reduced LTV without paying anything extra.