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BOM/BSD 33/2/ October 2013BANK OF MAURITIUSGuideline on the Computation of LoantoValue Ratio for Residential and Commercial Property Loans October 2013 Revised January 2014 Revised September 2014ContentsIntroduction
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How to fill out form computation of loan-to-value

01
Gather all the necessary information: You will need to have the loan amount, the appraised value of the property, and any existing liens or mortgages on the property.
02
Calculate the loan-to-value ratio: Divide the loan amount by the appraised value of the property. Multiply the result by 100 to get the percentage.
03
Determine the maximum loan-to-value ratio allowed: Different lenders and loan programs have different maximum LTV ratios. Make sure to check the guidelines of the specific lender or loan program you are using.
04
Compare the calculated LTV ratio with the maximum allowed: If the calculated LTV ratio is higher than the maximum allowed, you may need to adjust the loan amount or consider a different loan program.
05
Take into account any existing liens or mortgages on the property: If there are any existing liens or mortgages on the property, subtract their total amount from the appraised value before calculating the LTV ratio.
06
Complete the form: Fill in the necessary fields on the form, including the loan amount, appraised value, and any other relevant information. Consult the form's instructions for specific requirements.
07
Review and double-check the filled-out form: Make sure all the information entered is accurate and complete before submitting the form.
08
Submit the form: Follow the submission instructions provided with the form to submit it to the appropriate party, such as a lender or financial institution.

Who needs form computation of loan-to-value?

01
Form computation of loan-to-value is needed by individuals or organizations involved in the process of applying for a mortgage or loan secured by a property.
02
Lenders or financial institutions require this form to assess the risk associated with providing a loan and to determine the loan amount based on the property's value.
03
Borrowers who want to understand the loan-to-value ratio of their property or need to provide accurate information to lenders or financial institutions will also need this form.
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The form computation of loan-to-value is a calculation that expresses the ratio of a loan amount to the appraised value of the asset being purchased.
Lenders or financial institutions are required to file form computation of loan-to-value.
To fill out the form computation of loan-to-value, input the loan amount and the appraised value of the asset, then divide the loan amount by the appraised value and multiply by 100 to get the loan-to-value ratio.
The purpose of the form computation of loan-to-value is to assess the risk associated with a loan by determining the ratio of the loan amount to the value of the asset.
The form computation of loan-to-value must report the loan amount, the appraised value of the asset, and the calculated loan-to-value ratio.
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