A new QS borrower purchased this single-family home in Saugus, MA for $300,000. He completed a renovation of the property and sold it for $465,000.
QS Private Lending provided $280,000 of financing: A $240,000 acquisition loan and a $40,000 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 215% return on his equity investment.
Investment Summary
Project Cost:
Purchase Price$300,000
Renovations$40,000
Closing Costs$8,100
Total Cost$348,100
Financing:
Acquisition Loan$240,000
Construction Loan$40,000
Equity$68,100
Total Financing$348,100
Return on Investment:
Gross Selling Price$465,000
Closing Costs($16,450)
Interest Expense($22,400)
Loan Repayment($280,000)
Net Profit$146,150
Return on Equity215%
Have you identified a property that you would like to acquire? Contact us today, and make a more competitive offer!
