Loan-to-Value Ratio (LTV) Details
LTV for refinancing uses current appraised value (not purchase price). Combined LTV (CLTV) accounts for all liens. Florida commercial LTV requirements vary by property type, with hotels requiring lower ratios and multifamily qualifying for higher.
Refinancing LTV
- New loan amount ÷ current appraised value
- Appreciation lowers LTV, improving terms
- Cash-out: typically 80% max conventional
Combined LTV (CLTV)
- All liens ÷ appraised value
- Conventional: up to 90% CLTV
- HELOC: 85-90% CLTV
Commercial LTV
- LTV + DSCR (1.25x) + Debt Yield (8-10%)
- Hotels: 55-65%; Multifamily: 75-80%; Retail: 60-70%
- Lower LTV due to volatility and disposition timelines
Related Terms
Barnes Walker Real Estate Finance
Barnes Walker’s attorneys structure financing for Florida commercial and residential properties. Request a legal inquiry for assistance.
Reviewed by the attorneys at Barnes Walker, Goethe, Shea & Robinson, PLLC