Calculating Profit House Flip

[Wesley Washington]

Hey everyone, I have a question in regards to how profit on a flip should be calculated, with a hard money loan. I used round numbers to make the example more simple.

PP: 200K

Rehab:100K

Sale Price:400K

Because I have a HML, they are covering 100% of loan, so in this case $100K. Since I am paying $100K for the rehab but being reimbursed 100% of it, is my profit 400K - (200K + 100K - 100K)??? Or is it still $400K - (200K + 100K)??

Thanks