What is loan-to-value and how does it relate to my mortgage?

The article "What is loan-to-value and how does it relate to my mortgage?" by Darren Polson explains the concept of loan-to-value (LTV) for first-time homebuyers. LTV is calculated by dividing the amount borrowed by the property value and multiplying by 100, with a lower LTV resulting in lower interest rates. Lenders prefer lower LTV ratios as they indicate a more affordable mortgage, and borrowers may need to cover any difference between the property value and the offer accepted. The article aims to clarify this mortgage jargon for readers navigating the homebuying process. [Extracted from the article]