A new QS borrower purchased this single-family home in Berkley, MA for $280,000. He completed a renovation of the property and sold it for $540,000.

QS Private Lending provided $342,000 of financing: A $252,000 acquisition loan and a $90,000 construction loan. The loan was for 12 months at 14% interest. It was secured by a first mortgage on the property.

The borrower made a 395% return on his equity investment.

Investment Summary

Project Cost:
Purchase Price$280,000
Renovations$90,000
Closing Costs$9,340
Total Cost$379,340

Financing:
Acquisition Loan$252,000
Construction Loan$90,000
Equity$37,340
Total Financing$379,340

Return on Investment:
Gross Selling Price$540,000
Closing Costs($18,700)
Interest Expense($31,920)
Loan Repayment($342,000)
Net Profit$147,380
Return on Equity395%

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