Is it really LTV Or is it actually Loan to Purchase Price

[chris.tarry85]

Theoretically speaking, if I were to buy a property for less than market value (with a credible, verifiable reason) would the mortgage be based on the value of the house or the price paid?

Theoretical Example:
House Value: 500k
Price Paid: 250k
Mortgage: 215k

Is the LTV here 43% or 86%?

[chris.tarry85]

Thanks, I ideally want to avail myself of one of the mortgages limited to 60% LTV so even with some room in the property value this should be OK.

[chris.tarry85]

This would be the only finance secured on the property