Loan-to-Cost (LTC) Calculator
Construction lending's metric: loan against total project cost, the equity check and how LTC differs from LTV at completion.
Formula
Construction lenders cap LTC at 65-80% and require your equity in first — they fund only after your money is spent. The LTC-to-LTV gap at completion is the development profit; if stabilized LTV nears LTC, the project never created value.
Not financial advice — for informational and analytical use only. Verify all figures with a qualified professional before acting on them.
Disclaimer: This tool is for general informational and estimation purposes only and is not professional financial, tax, accounting or legal advice. All figures are estimates — verify with a qualified professional before making decisions. Read the full disclaimer.
Need loan-to-cost calculator results fast? Analysts, founders, traders and finance professionals use the Loan-to-Cost Calculator to skip the spreadsheet and get a defensible answer in one step — free, private and instant.
About Loan-to-Cost (LTC) Calculator
Construction lending's metric: loan against total project cost, the equity check and how LTC differs from LTV at completion. Construction lenders cap LTC at 65-80% and require your equity in first — they fund only after your money is spent. The LTC-to-LTV gap at completion is the development profit; if stabilized LTV nears LTC, the project never created value. The governing relationship is LTC = loan / (land + hard + soft costs). The Loan-to-Cost Calculator computes entirely in your browser — free, private (your figures never leave your device) and instant, recalculating live as you change any input.
How to use Loan-to-Cost (LTC) Calculator
- 1Enter Land cost (currency), Hard construction costs (currency), Soft costs (design, permits, interest) (currency), Construction loan (currency), Stabilized value at completion (currency) into the Loan-to-Cost Calculator.
- 2The result is computed automatically using LTC = loan / (land + hard + soft costs) — there is no button to press.
- 3Change any input to model a different scenario, then copy or share the result.
Why use Loan-to-Cost (LTC) Calculator?
- ✓Computes loan-to-cost calculator instantly with the correct formula — no spreadsheet needed
- ✓100% free and unlimited, with no sign-up, login or paywall
- ✓Runs entirely in your browser, so the figures you enter stay private
- ✓Shows the formula, a live worked example and references so you can defend the number
Frequently asked questions
What is the formula behind the Loan-to-Cost Calculator?+
Loan-to-Cost Calculator uses LTC = loan / (land + hard + soft costs). Construction lenders cap LTC at 65-80% and require your equity in first — they fund only after your money is spent. The tool substitutes your actual inputs into this relationship and shows the worked example step by step.
What inputs does the Loan-to-Cost Calculator need?+
Enter Land cost (currency), Hard construction costs (currency), Soft costs (design, permits, interest) (currency), Construction loan (currency), Stabilized value at completion (currency) and the result updates immediately — there is no button to press. Change any value to model a different scenario in real time.
Is the Loan-to-Cost Calculator free, and is my data private?+
Yes — it is completely free with no sign-up or usage limit, and it runs entirely in your browser, so the numbers you enter are never uploaded or stored on any server. It is for informational and analytical use, not financial advice.
What should I watch out for when using the Loan-to-Cost Calculator?+
The LTC-to-LTV gap at completion is the development profit; if stabilized LTV nears LTC, the project never created value.
What is the Loan-to-Cost Calculator based on?+
The method follows authoritative sources: Construction lending underwriting practice. The formula and references are shown on the page so you can verify and cite the result.
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