Loan-to-Value (LTV) Calculator
Think of LTV (Loan-to-Value Ratio) as the bank's way of asking: "How much of this house are you paying for, and how much are you asking me to pay for?" A lower LTV (from a bigger down payment) usually means better loan offers from banks!
1.00 Cr
80.00 L
Your Loan-to-Value Ratio
80.00%
Moderate LTV
| Property Price | Max Loan You Can Get (LTV %) | Minimum Down Payment You Must Pay |
|---|---|---|
| ≤ ₹30 lakh | 90% | 10% |
| ₹30–₹75 lakh | 80% | 20% |
| > ₹75 lakh | 75% | 25% |
Quick Example (Easy to Understand):
| Property Cost | Max Loan Bank Can Give | Your Minimum Contribution |
|---|---|---|
| ₹50 lakh | 80% = ₹40 lakh | ₹10 lakh |
So for a ₹50 lakh house, RBI rules say:
- Bank can give max ₹40 lakh
- You must pay at least ₹10 lakh from your pocket
1. Add a Home Renovation / Improvement Component
When applying, include an additional “Renovation” or “Furnishing” cost quotation. Many banks (HDFC, SBI, Bajaj Housing, LIC HFL) allow up to 10–15% of total property value under a Home Improvement Loan without exceeding the total LTV limit.
Renovation Loan (50%)
₹30,00,000
New Total Loan (at 80% LTV)
₹72,00,000
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2. Combine a Top-Up or Linked Loan
After 12 months of regular repayment, apply for a Top-Up Loan. Eligibility is typically up to 70% of the current market value, and ICICI, HDFC, and Bajaj Finance often allow this with a balance transfer.
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3. Include Registration & Statutory Costs
Some banks (SBI, BOB, PNB Housing) allow including registration and stamp duty in the total project cost for salaried applicants. This lifts the “effective LTV” by 3–5%, reducing your upfront cash need.
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4. Add a Co-Applicant (Joint Income Advantage)
Adding a spouse, parent, or sibling with a steady income can boost your sanctionable loan amount by 10–20%. This works best for salaried couples or family-owned businesses.
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5. Explore Top-Up + Balance Transfer Combo
If your existing home loan interest is high, transfer your loan to a lender that also offers a top-up at the same attractive rate. You get a lower rate plus fresh funds for other needs.
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6. Leverage Loan Overdraft (OD) Facilities
For those with variable cash flow, products like SBI MaxGain or BOB Max Savings let you park surplus funds to save on interest and withdraw them when needed, acting as a liquid reserve.
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7. Blend Subsidy/PMAY Benefits
Eligible EWS/LIG borrowers under PMAY can claim up to a ₹2.67 lakh subsidy, which reduces the principal burden and frees up funds for other expenses like furniture or appliances.
Tip:
| Particulars | Regular LTV Limit | After Smart Additions |
|---|---|---|
| Property Value | ₹60,00,000 | ₹60,00,000 |
| Stamp/Registration Cost | — | ₹2,00,000 |
| Renovation Estimate | — | ₹5,00,000 |
| Total Project Cost | ₹60,00,000 | ₹67,00,000 |
| Max 80% Loan Allowed | ₹48,00,000 | ₹53,60,000 |
Result: Extra ₹5.6 lakh sanctioned (legally permissible) when including eligible costs.