LVR (Loan to Value Ratio)
How much the bank will lend you as a percentage of what you're buying. 50% LVR means the bank lends half, you put in half. Lower LVR means safer for the bank but more cash needed from you.
- How it's worked out
- (Loan Amount / Purchase Price) × 100
- Which way is better
- Read it in contextNeither higher nor lower is better on its own. Read it alongside the measures around it.
Written by Mandy Walker, founder of Focus on Cash. Updated October 2026. This explanation comes from the glossary inside Focus on Cash, so it matches the words you see in the app.
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