Rehab Draw Interest & Liquidity Planner
See how dated advances, repayment, day count and contractor payment timing change simple interest and the project cash gap.
Accrual and cash-gap methodology
For each dated interval: funded balance × nominal annual rate × actual days / selected 365 or 360 denominator. Intervals include the start date and exclude the end date. Same-day events are netted before subsequent accrual. A draw on payoff day adds no interest days. Leap days count as actual days; the selected denominator stays 365 or 360.
This is simple accrual without automatic capitalization or compounding. If interest is funded by the loan, enter a dated advance consistent with the actual contract; do not both omit that balance and assume it was financed. A dollar minimum-interest amount can override accrued interest; origination points, entered fees and extension fee remain separate.
Project payment gap = peak cumulative project payments less net loan receipts. Opening principal is assumed received at origination. The gap does not include owner funds already supplied, sale proceeds, loan payoff at exit, or unentered/financing charges. It is a timing diagnostic, not proof of available equity or lender draw approval.
Checked illustrative schedule
$400,000 on day 0; $50,000 on day 60; $50,000 on day 120; payoff on day 180; 12% nominal and Actual/365 gives $26,630.14 interest. Charging the full $500,000 over the same 180 days gives $29,589.04. The $2,958.90 difference belongs to this example only. A 2% commitment fee separately adds $10,000.
In the example, contractor payments precede both later draws by 15 days, creating a $50,000 project-payment funding gap. Actual disbursement, inspection, retainage and fee terms require lender confirmation.