Short answer
LTV compares the first mortgage balance with property value. CLTV compares all secured balances, including a proposed HELOC amount, with property value. A CLTV estimate helps planning, but it does not prove eligibility.
Calculator
LTV: 60.00%
CLTV: 82.22%
Gross equity: $180,000
Remaining equity after proposed HELOC: $80,000
ILLUSTRATIVE EXAMPLE - NOT A LOAN OFFER. Lender requirements vary and may include many factors beyond LTV or CLTV.
Formulas
LTV = first mortgage balance / property value x 100. CLTV = combined secured balances / property value x 100. Gross equity = property value minus existing secured balances. Remaining equity = property value minus secured balances after the proposed HELOC.
Representative CLTV examples
| Property value | First mortgage | Other liens | Proposed HELOC | LTV | CLTV | Remaining equity |
|---|---|---|---|---|---|---|
| $250,000 | $140,000 | $0 | $50,000 | 56.00% | 76.00% | $60,000 |
| $350,000 | $210,000 | $0 | $75,000 | 60.00% | 81.43% | $65,000 |
| $450,000 | $270,000 | $0 | $100,000 | 60.00% | 82.22% | $80,000 |
| $600,000 | $360,000 | $25,000 | $100,000 | 60.00% | 80.83% | $115,000 |
| $750,000 | $450,000 | $0 | $150,000 | 60.00% | 80.00% | $150,000 |
| $1,000,000 | $620,000 | $50,000 | $150,000 | 62.00% | 82.00% | $180,000 |
Borrowing room at different CLTV assumptions
These examples use the shared formula: max(0, property value x CLTV assumption - secured balances). They are planning examples only.
| Property value | Existing secured balances | Illustrative CLTV assumption | Estimated room before other requirements |
|---|---|---|---|
| $400,000 | $240,000 | 80% | $80,000 |
| $400,000 | $240,000 | 85% | $100,000 |
| $600,000 | $360,000 | 80% | $120,000 |
| $600,000 | $360,000 | 85% | $150,000 |
Reviewed October 3, 2026. CLTV planning does not equal approval, available credit, or a lender requirement.
Why CLTV is not the same as approval
Some educational examples discuss 80%, 85%, or 90% CLTV scenarios, but lender requirements vary. A partner may also review credit, income, DTI, title, occupancy, property type, state availability, liens, and documentation.
Sources
Frequently Asked Questions
What is LTV?
LTV compares one loan balance, often the first mortgage, with the property value.
What is CLTV?
CLTV compares all secured balances plus the proposed home equity amount with the property value.
Does a lower CLTV mean I qualify?
No. CLTV is only one planning factor. Lenders may also review credit, income, DTI, property, documentation, state availability, and other requirements.