LTV measures leverage. A $160,000 loan on a $200,000 property = 80% LTV. Higher LTV = more leverage, more risk for the lender.
LTV = Loan Amount ÷ Appraised Value × 100
For rental properties, most conventional lenders cap LTV at 75–80%. DSCR lenders often allow 75–80% for single-family, 70–75% for multifamily. Hard money lenders may go up to 65–70% LTV.