Case Study of Single Family Fix and Flip in Saugus MA

An experienced builder and repeat QS borrower purchased this single-family home in Saugus, MA for $285,000. He renovated the property and sold it for $435,000.

QS Private Lending provided $300,000 of financing: A $240,000 acquisition loan and a $60,000 construction loan. The loan was for 12 months at 13% interest. It was secured by a first mortgage on the property.

The borrower made a 187% return on his investment.

Investment Summary

Project Cost:
Purchase Price$285,000
Renovations$60,000
Closing Costs$8,500
Total Cost$353,500

Financing:
Acquisition Loan$240,000
Construction Loan$60,000
Equity$53,500
Total Financing$353,500

Return on Investment:
Gross Selling Price$435,000
Closing Costs($15,550)
Interest Expense($19,500)
Loan Repayment($300,000)
Net Profit$99,950
Return on Equity187%

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