Skip to main content
Home Equity

Combined Loan-to-Value (CLTV)

Direct definition

Combined Loan-to-Value is the percentage of a home's value represented by all liens against it, including a first mortgage and any additional loans.

Written by the Vabasso Mortgage Editorial Team · Reviewed against agency and federal sources · Read our editorial policy for how we research and review mortgage content

Plain-English explanation

CLTV adds together the balances of a first mortgage and any second liens, such as a HELOC or home equity loan, then divides by the property's value. Lenders use it to assess total leverage when a borrower has more than one loan secured by the same property.

Why it matters

Even with a low first-mortgage balance, a large second lien can push CLTV high enough to affect eligibility for additional borrowing.

Where you may see it

  • HELOC application
  • Home equity loan disclosures
  • Underwriting file

A real-world example

For illustration, a home worth $400,000 has a $250,000 first mortgage and a $50,000 HELOC, producing a CLTV of 75%.

Educational and illustrative only

A common misunderstanding

CLTV is not the same as LTV, which typically reflects only the primary mortgage balance against the home's value.

Ask Vabasso AI

This glossary provides general educational information. Mortgage terminology, qualification methods, forms, timelines, fees, program rules, and legal meanings may vary by lender, investor, loan program, property, occupancy, state, and transaction. Definitions do not represent loan approval, legal advice, tax advice, or a commitment to lend.
Author
Vabasso Mortgage Editorial Team
Reviewed by
Vabasso Mortgage Licensed Advisory Team
Last reviewed
July 30, 2026

Use this calculator

Explore these loan programs

Related terms