An experienced builder and repeat QS borrower purchased this two-family home in Salem, MA for $560,000. He renovated the property and converted into two condominiums. They sold for a combined $944,900.

QS Private Lending provided $505,000 of financing: A $445,000 acquisition loan and a $60,000 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 285% return on his equity.

Investment Summary

Project Cost:
Purchase Price$560,000
Closing Costs$12,600
Total Cost$632,600

Acquisition Loan$445,000
Construction Loan$60,000
Total Financing$632,600

Return on Investment:
Gross Selling Price$944,900
Closing Costs($30,847)
Interest Expense($45,450)
Loan Repayment($505,000)
Net Profit$363,603
Return on Equity285%

Have you identified a property that you would like to acquire? Contact us today, and make a more competitive offer!