Correspondent Blog
Tag: Loan to Value
10/31/21
Managing Loan to Value with Rising Rates
If your bank is like most of its peers, your credit policy permits loan to value (LTV) ratios somewhere between 65% and 85% depending on the category, business cycle, and other forms of support. In today’s competitive lending market, many banks are pushing boundaries, and loan to values are creeping higher. We argue that banks…