Is a loan with a higher LTV (e.g. 70%) less secured?
September 22, 2024
No, it isn’t. With a higher LTV (combined with market volatility) there is a higher likelihood that a forced sale might be initiated. As a result, the investment might be terminated early, but the collateral ratio is not affected and investors always get their invested money back including interest for the entire period of the investment.
Share the article
Most read articles
All articlesDo you like our articles?
Subscribe to the newsletter and do not miss a thing from the world of investment. By subscribing, you consent to the processing of personal data.