Finance

A South Carolina property has an appraised value of $350,000. The buyer makes a 10% down payment. What is the loan-to-value (LTV) ratio?

A10%
B80%
C90%✓ Correct
D110%

Explanation

LTV = Loan Amount / Appraised Value. Down payment: $350,000 × 10% = $35,000. Loan amount: $350,000 − $35,000 = $315,000. LTV = $315,000 / $350,000 = 90%.

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