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In October 2020, the risk weights for all new housing loans from October 16, 2020 and up to March 31, 2022 were rationalized, as a countercyclical measure, irrespective of the amount of loan. These risk weights will continue for all new housing loans to be sanctioned up to March 31, 2023 as follows: 
Loan to Value Ratio is the amount of loan that can be given as a percentage of the market value of a property, which is valued by an empaneled independent valuer identified by the Bank. For eg: if the market value of the property is 80 lakhs, then the maximum loan that can be given is (if LTV Ratio of the bank is 80%) 64 lakhs (80% of 80 lakhs). Other things like income of the applicant will also be considered to decide the final loan eligibility
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