FinToolSuite

Combined Loan-to-Value Calculator

Updated April 17, 2026 · Mortgage · Educational use only ·

LTV across first mortgage plus second loan.

Calculate combined loan-to-value across a first mortgage and a second loan or home equity line. Enter first mortgage balance to see combined ltv.

What this tool does

Enter first and second loan balances plus property value. The tool shows combined LTV.


Enter Values

Formula Used
First mortgage balance
Second loan balance
Current market value

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Calculations, display, or translation — let us know.

Disclaimer

Results are estimates for educational purposes only. They do not constitute financial advice. Consult a qualified professional before making financial decisions.

Combined LTV is what second-mortgage lenders actually care about. A 200,000 first mortgage plus a 40,000 home equity line on a 300,000 property = 80% combined LTV. Above 80-85% combined LTV, most lenders stop offering new second loans. Knowing your combined LTV is the first step before shopping for home equity financing.

Run it with sensible defaults

Using first mortgage balance of 200,000, second loan / heloc balance of 40,000, property value of 300,000, the calculation works out to 80.00%. Nudge the inputs toward your own situation and the output recalculates instantly. The defaults are meant as a starting point, not a recommendation.

The levers in this calculation

The inputs — First Mortgage Balance, Second Loan / HELOC Balance, and Property Value — do not pull with equal force. Not every input has equal weight. Flip one at a time toward extreme values to feel which ones move the needle most for your situation.

How the math works

Combined loan balances divided by property value. Standard second-mortgage underwriting metric. The working is transparent — you can verify every step yourself in the formula section below. No black box, no opaque "proprietary model".

Stress-testing the plan

Run the calculation at your current rate, then run it again at a rate 2–3 percentage points higher. That's roughly what a product reset could bring at renewal, and it's a useful check on whether you can afford the mortgage in a higher-rate world, not just today's.

What this doesn't capture

The figure excludes arrangement fees, valuation costs, legal fees, insurance, and any early-repayment charges — those can add several thousand to the headline cost. Rate changes at renewal for fixed-term deals will shift the picture further. Use this for the core interest/principal math and add the other costs on top.

Example Scenario

Combined LTV produces a percentage based on the inputs provided.

Inputs

First Mortgage Balance:200,000 £
Second Loan / HELOC Balance:40,000 £
Property Value:300,000 £
Expected Result80.00%

This example uses typical values for illustration. Adjust the inputs above to match a specific situation and see how the result changes.

Sources & Methodology

Methodology

Combined loan balances divided by property value. Standard second-mortgage underwriting metric.

Frequently Asked Questions

Why does combined LTV matter more than LTV?
Because it reflects total debt against the home. Second-loan lenders underwrite against combined LTV, not just first-mortgage LTV.
What's the typical limit?
80-85% combined LTV is the common ceiling for home equity products. A few lenders go to 90% at higher rates.
Does a HELOC count even if unused?
Different lenders treat this differently. Some count the approved limit, some count drawn balance. Ask before assuming.
Can I get below 80% fast?
Pay down either loan, or wait for property value to rise. A valuation bump is the fastest route if you can justify a fresh market appraisal.

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