LTC vs LTV Explained: The two numbers that Money Lenders are focused on

Added: 2026-05-22

[00:00:00]Stop guessing what hard money lenders care about. If you want faster approvals, you need to understand two numbers, LTC and LTV. LTV means loan to value. It compares the loan amount to the property's appraised value, often based on after repair value. So, if a property is valued at $180,000 and the lender offers 75% LTV, the loan is $135,000.

[00:00:26]LTC means loan to cost. It compares the loan amount to your total project cost, purchase, repairs, closing costs, and carrying costs. If your total cost is $193,000 and the lender offers 80% LTC, that loan is $154,400.

[00:00:46]Here's the key. Lenders usually look at both, then focus on risk. They're checking your exit strategy, property condition, borrower experience, market conditions, and how much cushion is in the deal. Master these numbers before you submit. Follow TNT Prosperity Capital LLC to think like a lender before you borrow.