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Construction Loan Calculator

Estimate facility size and interest using an LTC limit and evenly phased monthly draws.

Your assumptions

INDICATIVE RESULT
€6,500,000
Estimated interest€406,250
Equity including interest€3,906,250

Calculated directly from the assumptions shown.

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FORMULA

How the construction loan calculation works

Facility = eligible cost × LTC. Estimated interest uses the average drawn balance over the construction period.

Example calculation

€10m of eligible cost at 65% LTC creates a €6.5m facility, drawn evenly over 24 months.

INVESTMENT USE

How professionals use the result

Use this for first-pass sizing. A full draw schedule should reflect actual monthly costs, lender eligibility and interest funding.

Common mistakes

  • Charging interest on the full facility from day one
  • Ignoring fees
  • Including ineligible costs
  • Double-counting capitalized interest
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CLEAR ANSWERS

Construction Loan Calculator FAQs