10307 Sagerock Dr, Houston, TX 77089
4bd / 2ba · 1,961 sqft · built 1971 · Single Family (SFR)Analyzed Jun 3, 2026$
$
$
$
$
$
Scenario 1 — Flip
Hard money loan · sell at ARV after rehab
❌
FAILS FLIP
Min 20% ROI · 6-mo hold
-20.4%
Flip ROI
Cash to First Close
$20,000
what you bring day 1
Net Profit
−$8,337
Max Bid @ 20%
$160,812
−$8,337 profit ÷ $40,917 total invested = -20.4%
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$226,250
Purchase (95% LTV)
$166,250
Rehab (100%)
$60,000
Loan-to-ARV
79.1%
Monthly Interest
$1,884/mo
Down Payment5% of $175,000 purchase
$8,750+
Origination Fee1 pts on $226,250 loan
$2,500+
Closing Costs5% of purchase
$8,750=
Cash to First Close
$20,000Holding Period — 6 Months
HML Interest9.99% IO · $1,884/mo × 6$11,301
Property Taxes$407/mo × 6$2,441
Insurance$196/mo × 6$1,175
Total Holding Costs$14,917
Contingency Reserve10% of rehab — held, not at first close$6,000
Sale Event — Second Close
Sale Price (ARV)
$286,000−
HML Principal Payofffull IO loan balance
$226,250−
Closing Costs3.5% of sale price
$10,010−
Realtor Commission6% of sale price
$17,160=
Net Proceeds to You
$32,580Deal Summary
Net Proceeds at Closing
$32,580−
Cash to First Close
$20,000−
Holding Costs (6 mo)
$14,917−
Contingency Reserve
$6,000=
NET PROFIT
−$8,337Max Bid by ROI Target
| ROI | Max Bid | vs Offer |
|---|---|---|
| 10% | $164,214 | −$10,786 |
| 15% | $162,501 | −$12,499 |
| 20% ← | $160,812 | −$14,188 |
| 25% | $159,147 | −$15,853 |
| 30% | $157,505 | −$17,495 |
Scenario 2 — HM→DSCR
Hard money @ 9.99% IO → DSCR refi · 75% ARV · 7.1% / 30yr
❌
FAILS DSCR
Min 1.30x · 7.1% / 30-yr DSCR · 75% of ARV
0.769x
DSCR
Monthly Cash Flow
−$333/mo
Cash-on-Cash Yr 1
-8.1%
$49,157 left in deal
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$226,250
Purchase (95% LTV)
$166,250
Rehab (100%)
$60,000
Loan-to-ARV
79.1%
Monthly Interest
$1,884/mo
Down Payment5% of $175,000 purchase
$8,750+
Origination Fee1 pts on $226,250 loan
$2,500+
Closing Costs5% of purchase
$8,750=
Cash to First Close
$20,000Holding Period — 2 Months
HML Interest9.99% IO · $1,884/mo × 2$3,767
Property Taxes$407/mo × 2$814
Insurance$196/mo × 2$392
Total Holding Costs$4,972
Contingency Reserve10% of rehab — held, not at first close$6,000
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$214,500−
HML Principal Payofffull IO loan balance
$226,250−
Origination Fee1 pts on $214,500
$2,145−
Closing Coststitle / appraisal / escrow
$4,290=
Cash to Bring to Close
−$18,185Deal Summary
Cash to First Close
$20,000+
Holding Costs (2 mo)
$4,972+
Contingency Reserve
$6,000−
Cash to Bring at Refi
+$18,185=
Capital Left in Deal
$49,157Equity Position — Day 1 Post-Refi
ARV
$286,000−
DSCR Loan Balance
$214,500=
Equity in Property
$71,500 (25.0%)−
Capital Left in Deal
$49,157=
Value Created
$22,343$71,500 equity on $49,157 deployed = 1.5× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$1,944−
Property Taxes
$407−
Insurance
$196−
Maintenance (6% rent)
$117−
Management (6% rent)
$117=
OpEx Subtotal
$836=
Net Operating Income
$1,108−
DSCR P&I
$1,442/mo=
Net Cash Flow
−$333/moDSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$214,500
Monthly P&I$1,442/mo
Net Cash Flow−$333/mo
Cash Still Required−$18,185
DSCR
0.769x✗ Fail
Lender DSCR
0.951x✗ Fail
No Cash-Out
75.0% LTV — capped short $18,185
Loan Amount$214,500
Monthly P&I$1,442/mo
Net Cash Flow−$333/mo
Cash Still Required−$18,185
DSCR
0.769x✗ Fail
Lender DSCR
0.951x✗ Fail
Required Rent by DSCR Target
| Target | Rent Needed | vs Current |
|---|---|---|
| 1.00x | $2,323/mo | +$379 needed |
| 1.10x | $2,487/mo | +$543 needed |
| 1.20x | $2,651/mo | +$707 needed |
| 1.30x ← | $2,814/mo | +$870 needed |
| 1.40x | $2,978/mo | +$1,034 needed |
Scenario 3 — Cash→DSCR
All-cash purchase → DSCR refi · 75% ARV · 7.1% / 30yr
❌
FAILS DSCR
Min 1.30x · 7.1% / 30-yr DSCR · 75% of ARV
0.769x
DSCR
Monthly Cash Flow
−$333/mo
Cash-on-Cash Yr 1
-9.3%
$42,890 left in deal
Acquisition Event — First Close
Purchase Price
$175,000+
Rehab Budget
$60,000+
Closing Costs5% of purchase
$8,750=
Total Cash to First Close
$243,750Holding Period — 2 Months
Property Taxes$407/mo × 2$814
Insurance$196/mo × 2$392
Total Holding Costs$1,205
Contingency Reserve10% of rehab — held, not at first close$6,000
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$214,500−
Origination Fee1 pts on $214,500
$2,145−
Closing Coststitle / appraisal / escrow
$4,290=
Net Cash Recovered
$208,065Deal Summary
Total Cash to First Close
$243,750+
Holding Costs (2 mo)
$1,205+
Contingency Reserve
$6,000−
Net Cash Recovered at Refi
$208,065=
Capital Left in Deal
$42,890Equity Position — Day 1 Post-Refi
ARV
$286,000−
DSCR Loan Balance
$214,500=
Equity in Property
$71,500 (25.0%)−
Capital Left in Deal
$42,890=
Value Created
$28,610$71,500 equity on $42,890 deployed = 1.7× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$1,944−
Property Taxes
$407−
Insurance
$196−
Maintenance (6% rent)
$117−
Management (6% rent)
$117=
OpEx Subtotal
$836=
Net Operating Income
$1,108−
DSCR P&I
$1,442/mo=
Net Cash Flow
−$333/moDSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$214,500
Monthly P&I$1,442/mo
Net Cash Flow−$333/mo
Cash Still Required−$42,890
DSCR
0.769x✗ Fail
Lender DSCR
0.951x✗ Fail
No Cash-Out
75.0% LTV — capped short $42,890
Loan Amount$214,500
Monthly P&I$1,442/mo
Net Cash Flow−$333/mo
Cash Still Required−$42,890
DSCR
0.769x✗ Fail
Lender DSCR
0.951x✗ Fail
Required Rent by DSCR Target
| Target | Rent Needed | vs Current |
|---|---|---|
| 1.00x | $2,323/mo | +$379 needed |
| 1.10x | $2,487/mo | +$543 needed |
| 1.20x | $2,651/mo | +$707 needed |
| 1.30x ← | $2,814/mo | +$870 needed |
| 1.40x | $2,978/mo | +$1,034 needed |