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The loan-to-value ratio is the percentage of a property's value that is financed by a mortgage. This percentage is also used to calculate the affordability of a mortgage.
Example calculation of the loan-to-value ratio
Value of property | CHF 1,000,000 |
Mortgage | CHF 650,000 |
Loan-to-value ratio | 65% |
More information about the loan-to-value ratio and affordability
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