Loan To Value - Where Are We?

Hard Money loans are based as we all know on equity protection, or amount of money lended against the total property value. On single family residence, Credit lenders were lending up to 100% of property value and Equity / Hard Money lenders were lending up to 70% and in some cases 75% of property value. Since August, everything has changed no matter what state you are in, lending guidelines are not the same either for Credit or Equity / Hard Money lenders. Here are some ideas of the current Standard LTVs. Some areas of the country may experience slight differences.

• Premier Urban Areas (Manhattan, San Francisco, Boston) - good to best locations within these areas Max LTVs 65%. Exceptions to be granted for 66 to 67%.
• Premier Urban Areas - standard locations Max LTVs 62% to 63%.
• Standard Urban Areas - Max LTVs 60%
• Foreclosure Areas - Max LTVs 50%

The above LTVs are for single family residence up to 4 units. They may vary depending upon the area of the country or within specific states but not by so much.

As I always say the more information the merrier. When you come across a Hard Money lender in your area of operation with loan programs that you want to share, send me the info I will put them up.