Finance

A loan-to-value (LTV) ratio of 80% on a $350,000 property means the loan amount is:

A$245,000
B$280,000✓ Correct
C$300,000
D$315,000

Explanation

LTV = Loan Amount ÷ Property Value. An 80% LTV on a $350,000 property = $350,000 × 0.80 = $280,000 loan, with a $70,000 (20%) down payment.

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