Loan-to-cost (LTC) compares the financing amount of a commercial real estate project to its cost. LTC is calculated as the loan amount divided by the construction cost. Meanwhile, loan-to-value (LTV) compares the loan amount to the expected market value of the completed project. So now that you have the definition of both you may be wondering what’s the difference when these two come into play. Tune in to get into the nitty gritty comparison between the two!
Follow me on Instagram to see how I make my deals & grow my real
estate empire! https://www.instagram.com/
Check out my other social accounts here:
Apple Podcasts: https://podcasts.apple.com/us/
Allon Avgi is the Founder and CEO of AVGI. Allon started AVGI at 21 years old when he acquired his first real estate investment in Long Island, New York. Allon has since developed a diverse real estate holdings company that has reached $50,000,000 in rental properties within only 4 years using his own money and that of a select few individuals. As he starts to open AVGI’s investments to outside capital and build strategic partnerships, he has ambitiously set a target to acquire and manage a $1 billion real estate portfolio by the time he is 30 years old.