Case Study of Single Family Fix and Flip in Ipswich MA

A new QS borrower purchased this single-family home in Ipswich, MA for $306,600. He renovated the property and sold it for $610,000.

QS Private Lending provided $395,000 of financing: A $245,000 acquisition loan and a $150,000 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 209% return on his investment.

Investment Summary

Project Cost:
Purchase Price$306,600
Renovations$150,000
Closing Costs$10,400
Total Cost$467,000

Financing:
Acquisition Loan$245,000
Construction Loan$150,000
Equity$72,000
Total Financing$467,000

Return on Investment:
Gross Selling Price$610,000
Closing Costs($20,800)
Interest Expense($43,450)
Loan Repayment($395,000)
Net Profit$150,750
Return on Equity209%

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