A new QS borrower purchased this single-family home in Pepperell, MA for $145,000. He completed a renovation of the property and sold it for $349,900.
QS Private Lending provided $186,000 of financing: A $116,000 acquisition loan and a $70,000 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 386% return on his equity investment.
Investment Summary
Project Cost:
Purchase Price$145,000
Renovations$70,000
Closing Costs$6,220
Total Cost$221,220
Financing:
Acquisition Loan$116,000
Construction Loan$70,000
Equity$35,220
Total Financing$221,220
Return on Investment:
Gross Selling Price$349,900
Closing Costs($12,997)
Interest Expense($14,880)
Loan Repayment($186,000)
Net Profit$136,023
Return on Equity386%
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