Modular home loan calculator
A modular home isn’t bought the way a finished house is bought. It’s built. So the money arrives in two stages, and most calculators only price the second one. This page prices both, then shows you what the construction phase cost you on top.
What the construction period adds
These are example figures, not yours. They’re arbitrary. They aren’t typical rates, an average, current market pricing, or a quote. Replace every one with numbers from your own lender and builder.
- Land $60,000
- Home $220,000
- Cash in $56,000
- Fees $4,000
- Build 8 mo at 9%
- Mortgage 6.5% for 360 mo
| Figure | With the build phase | Straight mortgage, no build | Difference |
|---|---|---|---|
| Total interest | $298,496 | $290,801 | +$7,695 |
| Total paid | $526,496 | $518,801 | +$7,695 |
| Months from first draw to payoff | 368 | 360 | +8 |
Everything above holds the amount financed at $228,000. Only the construction phase differs between the two columns, so you can reproduce either one by hand.
Phase one, the draw period
- First month’s interest
- $213.75
- Final month’s interest
- $1,710.00
- Interest across the build
- $7,695
- Build length
- 8 mo
Draws are assumed to release evenly across the build, so the balance climbs in a straight line and you pay interest only on what’s been drawn. A real lender ties draws to milestones, so your figure will land somewhere near this rather than exactly on it.
Phase two, the mortgage
- Monthly payment
- $1,441.12
- Total interest
- $290,801
- Total of payments
- $518,801
- Term
- 30 years
The permanent phase is an ordinary fixed rate mortgage on the same amount financed. It starts when the build converts.
Same mortgage, different terms
Only the term changes below. The amount financed stays at $228,000 and the rate stays at 6.5%.
| Term | Monthly payment | Total interest | Total of payments |
|---|---|---|---|
| 336 mo | $1,475.20 | $267,666 | $495,666 |
| 348 mo | $1,457.40 | $279,177 | $507,177 |
| 360 mo | $1,441.12 | $290,801 | $518,801 |
| 372 mo | $1,426.17 | $302,537 | $530,537 |
| 384 mo | $1,412.45 | $314,381 | $542,381 |
Adding to every payment
The full month by month mortgage schedule
| # | Payment | Interest | Principal | Balance |
|---|
For reference, the U.S. Prime Rate is currently 6.75% (source: Federal Reserve H.15, as of 2026-07-22). Construction loans are commonly priced as Prime plus a margin, which is why the two rates on this page usually differ. It’s context only and never enters the math. Your rate is whatever your lender actually quotes.
Is a modular home financed like a manufactured home
Not usually, and the difference costs real money. A modular home is built in a factory but assembled on a permanent foundation and titled as real property under local building code, so it’s generally financed with an ordinary mortgage. A manufactured home is built to the federal HUD code and often stays titled as personal property, which puts it in chattel financing instead.
The CFPB’s 2021 analysis of HMDA data reports that around 42 percent of manufactured housing loans are chattel loans, secured by the home but not the land, and the CFPB has stated that chattel loans generally carry higher interest rates and fewer consumer protections than mortgages. HUD notes that a Title I manufactured home may be classified either as personal property or as real estate, and where it’s treated as real estate the vehicle title is surrendered. If you landed here about a HUD code home, the manufactured home calculator and the mobile home calculator fit your situation better.
Where these numbers come from
The math
Every payment, interest figure and schedule row on this page is recomputed in code from what you type. One shared function handles the mortgage, each row of the term table and the extra payment walk, so there’s no second formula to drift. The schedule reconciles to the summary and the final balance lands on zero. Payment is P times i divided by one minus one plus i to the minus n, with the zero rate case handled separately.
The construction phase
Draws are assumed to release evenly across the months you enter. The balance rises in a straight line and each month charges interest only on what’s drawn so far. That’s a simplification and it’s stated wherever the figure appears. Change the build length to see how sensitive the total is.
Rates
This site doesn’t set, quote or publish market rates, and no rate is prefilled for you. Both rates in the calculator are the ones you were quoted. The single outside number anywhere on the page is the published U.S. Prime Rate, fetched from the Federal Reserve H.15 release and cross-checked against the FOMC target before it renders. If that check fails, the benchmark line doesn’t appear at all.
Not a lender
Asset Loan Calculator is independent and is not a lender, broker, or affiliate of any lender. Nothing here is a loan offer, an approval, or financial advice. Whether a lender offers construction to permanent financing, and whether they and your local jurisdiction treat a modular home as real property, are their decisions and not something this page predicts.
Questions modular buyers ask
Why does the calculator want two rates
Because construction to permanent financing is quoted as two. The draw period carries one rate while the house goes up, then it converts to a mortgage at another. Lenders quote them separately, so ask for both plus the expected build length in months. Until you have them, load the example and watch how the numbers move.
What if I already own the land
Leave the land field empty. Owned land often counts toward the equity a lender wants to see, which changes what you need in cash, though that part is a lender decision rather than arithmetic this page can do.
Does a longer term actually cost more
Look at the term table. The monthly payment falls and the total interest climbs, and both come from your own rate and amount. That trade is the whole reason the table is there rather than a single result.
Can I pay extra during construction
The extra payment field applies to the mortgage phase, after conversion. Paying down a construction balance mid build is possible with some lenders, but it changes the draw schedule itself, and this page won’t guess at a schedule your lender hasn’t given you.