George Rogerson, 22, of Plean, admitted stabbing Leon Cairney 11 times in the village last December after the pair rowed in the street in the early hours.
He told the High Court in Dundee he had been provoked into the attack on the 25-year-old.
Judge Lord Kinclaven deferred sentence until November 20 and Rogerson was remanded in custody.
Rogerson had earlier tried to plead guilty to the lesser crime of culpable homicide, a plea rejected by the Crown.
He then went on trial accused of murder at the High Court in Dundee - a charge he denied.
The jury was told how Rogerson had rowed with neighbour Simon Blair, who had then called on Mr Cairney to help confront Rogerson.
Giving evidence in his own defence, Rogerson said he had grabbed a kitchen knife from a block and stormed out the back door during the incident.
He said: "I went out to the side of the house - I opened the side gate and when I did that they came flying in.
"It was Leon Cairney and Simon Blair - I recognised them both.
"I had the knife in my right hand. We started fighting and he was hitting me on the side of the head and I started stabbing him.
"It stopped when he let me go and fell backwards."
The court earlier heard from a pathologist that Mr Cairney had been stabbed 11 times - including four in the chest and one in the abdomen that had penetrated up to the hilt of the knife.
Rogerson said he had "panicked" by going outside with the knife.
A jury of eight men and seven women took two hours and 50 minutes to find him guilty of culpable homicide.

The Highlanders, relegated from the top flight last season, have appointed John Robertson as Richie Foran's successor.
Elsewhere, Dumbarton host Morton, St Mirren face Falkirk, Queen of the South take on Brechin City.
Newly-promoted Livingston welcome Dunfermline Athletic for their first game of the season.
A man who stabbed a former soldier to death in Stirlingshire has been convicted of culpable homicide.
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Inverness CT will open their Scottish Championship campaign at home to Dundee United when the 2017-18 gets under way on 5 August.