Construction Loan Calculator

Building is financed differently. During construction you pay interest only on what has actually been drawn, so the payment starts small and climbs as the house goes up.

A one-time-close loan converts to permanent financing at completion with a single closing — no re-qualifying, no second set of costs.

Your numbers

$110,000
$425,000

Your results

Permanent monthly payment (P&I)

$3,247

After conversion at completion

Average draw-period payment
$1,564

Interest only, rises as draws are taken

Final month draw payment
$3,129
Interest paid during construction
$14,080
Total project cost
$556,250

Includes $21,250 contingency

Cash required at closing
$55,625

Land purchased with the loan

Loan amount
$500,625
Land equity credited
$0

What happens if you change this

Your permanent payment lands at $3,247 once the home converts. During the 9-month build you pay interest only on drawn funds — starting small and reaching $3,129 in the final month, averaging $1,564 and totaling about $14,080. Buying the land through the loan means $55,625 in cash at closing. Owning the land outright would credit $110,000 toward that. The 5% contingency of $21,250 is not optional in practice — builds almost always find something.

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Questions people ask

What is a one-time-close construction loan?
A single loan and single closing covering the lot, the construction draws, and the permanent mortgage. You don't re-qualify or pay closing costs twice.
Can I use land I already own as my down payment?
Usually yes — the equity in your lot can count toward the required down payment, sometimes covering it entirely.

Estimates for education only — not a loan approval, rate quote, or commitment to lend. Actual figures depend on credit, property, program guidelines, and market conditions at the time of lock. Corie Adams · NMLS #1875205 · Network Funding, LP · NMLS ID #2279 · Equal Housing Opportunity.