Calculating Holding Costs – Have I worked it out right ??

Hi All,

I'm not 100% sure how I'm meant to calculate out holding costs, but I've given it a go and would love some advice on whats wrong with my calculations, as well as what else needs to be included.

I've attached an image as well as the spreadsheet with the calculations (first attempt uploading to this forum, hoping it works)

Anyway, here's a run down of the situation.

Loan Amount needed for the Building of new House = $180,000
Time Frame for Build = 6 months  (Anticipated to be completed in 3 to 4 months, but listed 6 to be safe)
Average Spend per month = $30,000 (this is just an estimated figure – $180,000 divided by 6 months = $30,000 per month).

URL if needed (Image):  http://www.4shared.com/file/171140510/4e203031/Holding-Cost-Calculations.html

Holding%20Cost%20Calculations.xls” alt=”Holding Cost Calculations (.xls file” title=”Holding Cost Calculations (.xls file” width=”192″ height=”30″/>
URL if needed (Excel File):  http://www.4shared.com/file/171139362/24ca28f2/Holding_Cost_Calculations.html

I've got a feeling the attachments didn't work – please click on the links above for the Image and/or the Excel file.

Thanks in advance.

Cheers,

Darren