An experienced builder and repeat QS borrower purchased this single-family home in Bellingham, MA for $199,500.
He renovated the property and sold it for $335,000.
QS Private Lending provided $200,000 of financing: A $150,000 acquisition loan and a $50,000 construction loan. The loan was for 12 months at 12% interest. It was secured by a first mortgage on the property.
The borrower made a 197% return on his investment.
Investment Summary
Project Cost:
Purchase Price$199,500
Renovations$50,000
Closing Costs$6,500
Total Cost$256,000
Financing:
Acquisition Loan$150,000
Construction Loan$50,000
Equity$56,000
Total Financing$256,000
Return on Investment:
Gross Selling Price$335,000
Closing Costs(12,550)
Interest Expense($12,000)
Loan Repayment($200,000)
Net Profit$110,450
Return on Equity197%
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