Working out LVR, need help

[mystery]

Can anyone give me the step by step calculation for working out my current LVR?

Thanks

Martin

 

[caporale]

Hi Mystery,

Your LVR is quite simple the value of the loan(s) as a percentage of the property (or portfolio's) value.

i.e. Loan amount of $200K, property value $350K = an LVR of 57%. (200/350) * 100

Cheers,
Scotty

 

[mystery]

Scott,

Thank you very much. I see the bank tomorrow for our 6th IP loan and I wanted to work out our LVR before I go in. I have read it in various books and it didn't make sense, but your description does.

Even with the new loan it would give us an LVR of 72% according to the formula, .... phew!..

Thanks

Martin