Construction Loan Calculator

A construction loan charges interest only on the money that has actually been drawn, so the payment starts small and climbs every month as the build progresses. Enter the amount drawn at closing, the amount released during the build, the build period and both interest rates, and this returns the first, last and average interest-only payment, the interest paid over the whole build, and the amortising payment the balance converts to when the house is finished. Draws are modelled as equal monthly releases with the closing draw outstanding throughout, which is the simple case a lender quotes from. A real draw schedule follows the work rather than the calendar, and fees, taxes, insurance and any interest reserve sit outside this.