Terms Beginning With 'l'

Loan-to-Cost Ratio (LTC)

  • January 15, 2020
  • Team Kalkine

The loan-to-cost or LTC ratio is a metric used in commercial construction of real estate to compare the financing of a project that is offered by a loan with the expense of developing the project and is used to calculate the percentage of a loan or amount the lender is willing to provide for a project.

The loan to cost ratio can be calculated by-

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