Finance
A lender who approves a $350,000 loan on a property appraised at $400,000 has an LTV of:
A75%
B80%
C87.5%✓ Correct
D90%
Explanation
LTV = Loan ÷ Appraised Value = $350,000 ÷ $400,000 = 0.875 = 87.5%. Using the values given ($350,000, $400,000), apply the appropriate formula.. The correct answer is 87.5%.. This is a common calculation on the Georgia real estate exam.
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