Too good to be true?

[Minh Le]

Hi all,

A realtor/investor reached out looking for $12k to help fund a deal and promised a net return of $24k to be paid 60 days after the property has been rehabbed and listed for sale. We have since defined the listing date to be 4/10/2018. So by 6/10/2018, I would walk away with 100% ROI.

I asked her why they are not going to a lender for the entire cost instead, and she responded that they have already borrowed all the money that they can, and needed this last bit to close. Is this too good to be true; to receive 100% return on a 3 1/2 month Loan? Or does this happen fairly often in this industry?