LTV Question - Bridge Loan

Posted By: mtgbnkr

LTV Question - Bridge Loan - 04/17/17 04:04 PM

LTV on bridge loan is calculated how? Is LTV based only on new property being acquired or on both properties? I've got folks that can't agree.
Example: Existing Home is F/C valued $100,000. New Home sales price $200,000. Taking both properties and financing $200,000 for acquisition. Is LTV 100% or 67%? -- Scripture and verse please. Thanks!
Posted By: Cracked Egg

Re: LTV Question - Bridge Loan - 04/17/17 04:14 PM

Use both properties:

Appendix A to Subpart A of Part 365—Interagency Guidelines for
Real Estate Lending Policies:

"... In situations where a loan is fully cross-collateralized by two or more properties or is secured by a collateral pool of two or more properties, the appropriate maximum loan amount under supervisory loan-to-value limits is the sum of the value of each property, less senior liens, multiplied by the appropriate loan-to-value limit for each property..."