The calculation
LTV is the share funded by the mortgage
Mortgage ÷ home priceLoan to value
A £30,000 deposit on a £300,000 home leaves a £270,000 mortgage: 90% LTV.
Worked comparison
The same home, three deposits
| Deposit | Mortgage | LTV | Rate | Monthly |
|---|---|---|---|---|
| £15,000 | £285,000 | 95% | 5.49% | £1,616 |
| £30,000 | £270,000 | 90% | 5.07% | £1,461 |
| £75,000 | £225,000 | 75% | 4.79% | £1,179 |
Payments use the calculator's current illustrative LTV rate and 30-year term.
Why bands matter
A threshold can change two things
More deposit reduces the mortgage itself. Reaching a lower LTV band can also reduce the illustrative rate, so the monthly difference may be larger than the deposit alone suggests.
Sources
MoneyHelper deposit and LTV guidance · Calculator rates and assumptions