LVR Ratio is a numerical formula a lender uses to help identify a loans risk value. LVR Ratio is the ratio of Valuation vs the Loan amount.

Eg. Property value of $250k and Loan amount of $200k.

200/250 X 100 = 80%

LVR = 80%

Higher LVR ratio’s are more of a risk for a lender. Limitations are often put on products and can attract higher interest rates and fees. Choosing the right lender can provide competitive rates and fees across all LVR ratio’s.