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Construction Finance Calculator

Construction finance calculator works out Payment and Total interest from Loan amount, Annual interest rate and Loan term. The default figures on this page give payment of 2,236.72; change any entry and the result, the working and the sources update together.

Payment

2,236.72

Loan Payment Calculator

Total interest

236,812.49

Total of payments

536,812.49

Number of payments

240

Payoff time

20 years

Rate per period

0.541667 %

Interest per unit borrowed

0.7894

Interest saved by extra payments

Payments saved

Loan amount

300,000.00

Annual interest rate

6.5 %

Months to repay

240

Fees deducted at closing

0.00

Net amount advanced

300,000.00

APR

6.5 %

Worked out from Standard annuity-immediate payment formula, PMT = P i / (1 - (1+i)^-n) and 4 other sources.

Your figures

Updates as you type

Display currencyFormatting only. This does not change the calculation.

Loan amount

Annual interest rate (%)The nominal annual rate (APR before fees), not the monthly rate.

Loan term (years)

Term - additional monthsAdded to the term in years, for terms such as 5 years and 6 months. To state a tenure purely in months, set the years to 0 and enter the whole tenure here.

Payment frequency

Extra payment each period Additional principal paid on top of the scheduled payment.

Include the amortisation schedule

Balloon payment due after (years)Commercial, land and construction loans are commonly written on a long amortisation but fall due earlier, with the remaining balance repaid in one balloon payment. Leave at 0 for a fully amortising loan.

Origination fee or points (%)A percentage of the loan withheld at closing. Enter the figure your lender quotes - fee schedules differ by lender and by programme.

Other fees deducted at closing Guaranty, packaging, survey or documentation fees withheld from the advance rather than paid separately.

How this is worked out

3 steps

Rate per period = 6.5% / 12 = 0.541667%
Payment = P i / (1 - (1+i)^-n) = 2236.72
Over 240 payments the total paid is 536812.49, of which 236812.49 is interest.

Amortisation scheduletable

period	payment	interest	principal	balance
1	2,236.72	1,625	611.72	299,388.28
2	2,236.72	1,621.69	615.03	298,773.25
3	2,236.72	1,618.36	618.36	298,154.89
4	2,236.72	1,615.01	621.71	297,533.18
5	2,236.72	1,611.64	625.08	296,908.1
6	2,236.72	1,608.25	628.47	296,279.63
7	2,236.72	1,604.85	631.87	295,647.76
8	2,236.72	1,601.43	635.29	295,012.47
9	2,236.72	1,597.98	638.74	294,373.73
10	2,236.72	1,594.52	642.2	293,731.53
11	2,236.72	1,591.05	645.67	293,085.86
12	2,236.72	1,587.55	649.17	292,436.69
13	2,236.72	1,584.03	652.69	291,784
14	2,236.72	1,580.5	656.22	291,127.78
15	2,236.72	1,576.94	659.78	290,468
16	2,236.72	1,573.37	663.35	289,804.65
17	2,236.72	1,569.78	666.94	289,137.71
18	2,236.72	1,566.16	670.56	288,467.15
19	2,236.72	1,562.53	674.19	287,792.96
20	2,236.72	1,558.88	677.84	287,115.12
21	2,236.72	1,555.21	681.51	286,433.61
22	2,236.72	1,551.52	685.2	285,748.41
23	2,236.72	1,547.8	688.92	285,059.49
24	2,236.72	1,544.07	692.65	284,366.84
25	2,236.72	1,540.32	696.4	283,670.44
26	2,236.72	1,536.55	700.17	282,970.27
27	2,236.72	1,532.76	703.96	282,266.31
28	2,236.72	1,528.94	707.78	281,558.53
29	2,236.72	1,525.11	711.61	280,846.92
30	2,236.72	1,521.25	715.47	280,131.45
31	2,236.72	1,517.38	719.34	279,412.11
32	2,236.72	1,513.48	723.24	278,688.87
33	2,236.72	1,509.56	727.16	277,961.71
34	2,236.72	1,505.63	731.09	277,230.62
35	2,236.72	1,501.67	735.05	276,495.57
36	2,236.72	1,497.68	739.04	275,756.53
37	2,236.72	1,493.68	743.04	275,013.49
38	2,236.72	1,489.66	747.06	274,266.43
39	2,236.72	1,485.61	751.11	273,515.32
40	2,236.72	1,481.54	755.18	272,760.14
41	2,236.72	1,477.45	759.27	272,000.87
42	2,236.72	1,473.34	763.38	271,237.49
43	2,236.72	1,469.2	767.52	270,469.97
44	2,236.72	1,465.05	771.67	269,698.3
45	2,236.72	1,460.87	775.85	268,922.45
46	2,236.72	1,456.66	780.06	268,142.39
47	2,236.72	1,452.44	784.28	267,358.11
48	2,236.72	1,448.19	788.53	266,569.58
49	2,236.72	1,443.92	792.8	265,776.78
50	2,236.72	1,439.62	797.1	264,979.68
51	2,236.72	1,435.31	801.41	264,178.27
52	2,236.72	1,430.97	805.75	263,372.52
53	2,236.72	1,426.6	810.12	262,562.4
54	2,236.72	1,422.21	814.51	261,747.89
55	2,236.72	1,417.8	818.92	260,928.97
56	2,236.72	1,413.37	823.35	260,105.62
57	2,236.72	1,408.91	827.81	259,277.81
58	2,236.72	1,404.42	832.3	258,445.51
59	2,236.72	1,399.91	836.81	257,608.7
60	2,236.72	1,395.38	841.34	256,767.36
61	2,236.72	1,390.82	845.9	255,921.46
62	2,236.72	1,386.24	850.48	255,070.98
63	2,236.72	1,381.63	855.09	254,215.89
64	2,236.72	1,377	859.72	253,356.17
65	2,236.72	1,372.35	864.37	252,491.8
66	2,236.72	1,367.66	869.06	251,622.74
67	2,236.72	1,362.96	873.76	250,748.98
68	2,236.72	1,358.22	878.5	249,870.48
69	2,236.72	1,353.47	883.25	248,987.23
70	2,236.72	1,348.68	888.04	248,099.19
71	2,236.72	1,343.87	892.85	247,206.34
72	2,236.72	1,339.03	897.69	246,308.65
73	2,236.72	1,334.17	902.55	245,406.1
74	2,236.72	1,329.28	907.44	244,498.66
75	2,236.72	1,324.37	912.35	243,586.31
76	2,236.72	1,319.43	917.29	242,669.02
77	2,236.72	1,314.46	922.26	241,746.76
78	2,236.72	1,309.46	927.26	240,819.5
79	2,236.72	1,304.44	932.28	239,887.22
80	2,236.72	1,299.39	937.33	238,949.89
81	2,236.72	1,294.31	942.41	238,007.48
82	2,236.72	1,289.21	947.51	237,059.97
83	2,236.72	1,284.07	952.65	236,107.32
84	2,236.72	1,278.91	957.81	235,149.51
85	2,236.72	1,273.73	962.99	234,186.52
86	2,236.72	1,268.51	968.21	233,218.31
87	2,236.72	1,263.27	973.45	232,244.86
88	2,236.72	1,257.99	978.73	231,266.13
89	2,236.72	1,252.69	984.03	230,282.1
90	2,236.72	1,247.36	989.36	229,292.74
91	2,236.72	1,242	994.72	228,298.02
92	2,236.72	1,236.61	1,000.11	227,297.91
93	2,236.72	1,231.2	1,005.52	226,292.39
94	2,236.72	1,225.75	1,010.97	225,281.42
95	2,236.72	1,220.27	1,016.45	224,264.97
96	2,236.72	1,214.77	1,021.95	223,243.02
97	2,236.72	1,209.23	1,027.49	222,215.53
98	2,236.72	1,203.67	1,033.05	221,182.48
99	2,236.72	1,198.07	1,038.65	220,143.83
100	2,236.72	1,192.45	1,044.27	219,099.56
101	2,236.72	1,186.79	1,049.93	218,049.63
102	2,236.72	1,181.1	1,055.62	216,994.01
103	2,236.72	1,175.38	1,061.34	215,932.67
104	2,236.72	1,169.64	1,067.08	214,865.59
105	2,236.72	1,163.86	1,072.86	213,792.73
106	2,236.72	1,158.04	1,078.68	212,714.05
107	2,236.72	1,152.2	1,084.52	211,629.53
108	2,236.72	1,146.33	1,090.39	210,539.14
109	2,236.72	1,140.42	1,096.3	209,442.84
110	2,236.72	1,134.48	1,102.24	208,340.6
111	2,236.72	1,128.51	1,108.21	207,232.39
112	2,236.72	1,122.51	1,114.21	206,118.18
113	2,236.72	1,116.47	1,120.25	204,997.93
114	2,236.72	1,110.41	1,126.31	203,871.62
115	2,236.72	1,104.3	1,132.42	202,739.2
116	2,236.72	1,098.17	1,138.55	201,600.65
117	2,236.72	1,092	1,144.72	200,455.93
118	2,236.72	1,085.8	1,150.92	199,305.01
119	2,236.72	1,079.57	1,157.15	198,147.86
120	2,236.72	1,073.3	1,163.42	196,984.44

First 120 of 240 rows.

Yearly summarytable

year	interest	principal	endingBalance
1	19,277.33	7,563.31	292,436.69
2	18,770.79	8,069.85	284,366.84
3	18,230.33	8,610.31	275,756.53
4	17,653.69	9,186.95	266,569.58
5	17,038.42	9,802.22	256,767.36
6	16,381.93	10,458.71	246,308.65
7	15,681.5	11,159.14	235,149.51
8	14,934.15	11,906.49	223,243.02
9	14,136.76	12,703.88	210,539.14
10	13,285.94	13,554.7	196,984.44
11	12,378.15	14,462.49	182,521.95
12	11,409.59	15,431.05	167,090.9
13	10,376.16	16,464.48	150,626.42
14	9,273.5	17,567.14	133,059.28
15	8,096.98	18,743.66	114,315.62
16	6,841.68	19,998.96	94,316.66
17	5,502.3	21,338.34	72,978.32
18	4,073.25	22,767.39	50,210.93
19	2,548.48	24,292.16	25,918.77
20	921.56	25,918.77	0

Its 11 worked examples are re-run on every release, last on 15 September 2026. What changed

Sources and references

5 sources

Standard annuity-immediate payment formula, PMT = P i / (1 - (1+i)^-n)

Equivalent to the Excel PMT function and to the actuarial present value of a level annuity.

12 CFR Part 1026 (Regulation Z), Appendix J - Annual Percentage Rate Computations

Consumer Financial Protection Bureau, "What is a balloon payment? When is one allowed?"

A balloon loan is amortised on a longer schedule than its term, leaving the outstanding balance due in one payment at the end of the term.

13 CFR 120.212 - What limits are there on the maturities of 7(a) loans?

Source for the maturity defaults used by the SBA variant. Rates and guaranty fees are lender- and programme-specific and stay user inputs.

26 U.S.C. 72(p)(2)(B) - repayment period for a loan from a qualified employer plan

Source for the five-year repayment default used by the 401(k) variant (longer terms are permitted only for a principal-residence loan).

Keep this result

Save it, change one figure, then compare the two

The calculation stays free. Save this scenario, adjust one assumption, save that too, and put them side by side to see exactly what the change costs you. A free account keeps 5 scenarios and 2 comparisons; Personal makes both unlimited and adds exports and private links. Nothing is saved unless you press Save.

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What the construction finance calculator calculates

How to use this construction finance calculator

Enter Loan amount, Annual interest rate, Loan term and Term - additional months. Payment updates as you type. Change one figure at a time to see what drives the result.

How the result is worked out

Open “How this is worked out” beside the result for the step-by-step calculation behind Payment, Total interest and Total of payments.

The method follows Standard annuity-immediate payment formula, PMT = P i / (1 - (1+i)^-n), 12 CFR Part 1026 (Regulation Z), Appendix J - Annual Percentage Rate Computations, Consumer Financial Protection Bureau, "What is a balloon payment? When is one allowed?", 13 CFR 120.212 - What limits are there on the maturities of 7(a) loans? and 26 U.S.C. 72(p)(2)(B) - repayment period for a loan from a qualified employer plan.

What you can compare

Change one input at a time to see how it affects Payment, Total interest and Total of payments. The inputs you can vary are Loan amount, Annual interest rate, Loan term, Term - additional months, Payment frequency and Extra payment each period.

Results are general information, not financial, tax, legal, medical or engineering advice. Check any decision that matters with a qualified professional.

Embed this calculator on your website

Copy this code into any page. The calculator appears with the figures currently entered, sizes itself to fit, and a small credit line links back here. Free, no account, no ads inside it, no tracking of your readers. Set your own figures and fixed fields; Personal removes the credit line, sets your colour and shows you which sites use it.

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Frequently asked questions

Do I need 20% down for a construction loan?

Computes the level payment, total interest and full amortisation schedule for an instalment loan, and solves the same annuity equation backwards for the rate, the term or the amount that can be borrowed. On the figures this page opens with — loan amount 25,000, annual interest rate 6.5% and loan term 5 years — the payment is 2,236.72. Put your own figures in their place and the working updates beside the result.

What information do I need for the construction finance calculator?

You need Loan amount, Annual interest rate, Loan term, Term - additional months, Payment frequency, Extra payment each period, Balloon payment due after and Origination fee or points. The page opens with default figures that give payment of 2,236.72, so you can see the scale before entering your own.

What does this construction finance calculator show?

It shows Payment, Total interest, Total of payments, Number of payments, Payoff time, Rate per period, Interest per unit borrowed and Interest saved by extra payments, with the working and any warnings for your entries.

Can I check how the construction finance calculator result was calculated?

Yes. The “How this is worked out” section shows the calculation steps, and the sources section identifies the references used for the method.

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