Construction Loan Center

Interest Only Calculator

How and When is a Simple Interest Calculator Used During the Construction Phase

Interest Only Construction Loan Calculator

Interest Only Loan Payment Calculator
This calculator will compute the interest only payment for construction loans.
Principal:
Interest Rate:
 
Monthly interest payment:

During construction a construction loan's payments are based on the loan amount actually drawn. It is therefore difficult to estimate what the payments will actually be as the loan amount is subject to change at any one time.

Furthermore, normally no payments are made during construction but rather applied to the payment reserve account that is set up and included in the loan amount.

  • A basic and simple to use Construction Loan Amount Calculator is available here.

  • A good way to estimate the total payments is to take 70% of the loan amount and then calculate the interest only payments using the calculator on this page.

    Construction loans have calculations that are are a good deal more involved than a simple purchase or refinance mortgage loan amount.

    Construction lenders calculate the actual construction loan amount after you answer some simple questions.

    The interest only calculator on this page uses Java Script. If you have set your browser not to allow Java Script then you will get a warning asking you if you would like to allow the script to run. All you do is allow the script to run temporarily and the calculator will work.

    Qualifying for a mortgage loan involves debt ratio calculations that very slightly from one financial institution to the next. In most cases the borrower's debt ratio is analyzed using the fully amortized payment.

    New Home Construction

    New Home Construction

    Construction and take out financing of ground up residential, owner occupied properties, up to four units.

    Read more
    Remodeling Loans

    Remodeling Loans

    Major remodeling loans for currently owned or purchase and rehabilitation of residential properties, up to four units.

    Read more
    FHA 203(k)

    FHA 203(k)

    FHA's rehabilitation loan program for currently owned homes and purchase transactions of up to four units.

    Read more
    Modular Homes

    Modular Homes

    Modular, manufactured & fifth wheel homes. What are the differences? Is financing be available for them?

    Read more
    Bad Credit Loans Construction Loans

    Bad Credit Loans

    Construction loans are available for damaged credit, but things can work very differently in this case.

    Read more
    Builder Construction Loans

    Builder Construction Loans

    Also known as spec loans these are for speculators who plan on building several homes or a condo project.

    Read more
    Lot Loans

    Lot Loans

    Lot Loans for when you are not ready to build, but the opportunity presents itself. For up to Four Units.

    Read more
    Stated Income Construction Loans

    Stated Income Loans

    For hard to document income or very complex combination of corporate and/or trust and personal returns.

    Read more
    Construction Loan Closing Costs

    Closing Costs

    Typical closing costs for a construction loan are a little different from conventional mortgages.

    Read more