MMX Group/1158 Cottage Oak Ln, Houston, TX 77091
Flip-102.7%
HM→DSCR0.671x
Cash→DSCR0.671x
New Deal

1158 Cottage Oak Ln, Houston, TX 77091

3bd / 2ba · 1,696 sqft · built 1967 · Single Family (SFR)Analyzed Jul 30, 2026
Flip ROI
-102.7%
FAIL
−$55,592 loss
6-mo hold · profit ÷ cash out
DSCR — 75% LTV
0.671x
FAIL
cash-out refi · NOI / debt service
DSCR — No Cash-Out
0.671x
FAIL
75.0% LTV · capped, short $59,680
Max Bid @ 20%
$255,959
FAIL
✗ $58,041 over max
Total Invested
$40,966
down + points + costs + holding, pre-refi
Cash Left in Deal
$100,646
after HM → DSCR cash-out refi
Value Generated
$14,000
ARV − purchase − rehab (instant equity)
Starting Equity %
25.0%
ARV − DSCR loan ÷ ARV, day 1 post-refi
$
$
$
$
$
$
Scenario 1 — Flip
Hard money loan · sell at ARV after rehab
FAILS FLIP
Min 20% ROI · 6-mo hold
-102.7%
Flip ROI
Cash to First Close
$34,383
what you bring day 1
Net Profit
−$55,592
Max Bid @ 20%
$255,959
−$55,592 profit  ÷  $54,132 total invested  =  -102.7%
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$298,300
Purchase (95% LTV)
$298,300
Loan-to-ARV
90.9%
Monthly Interest
$2,483/mo
Down Payment5% of $314,000 purchase
$15,700
+
Origination Fee1 pts on $298,300 loan
$2,983
+
Closing Costs5% of purchase
$15,700
=
Cash to First Close
$34,383
Holding Period — 6 Months
HML Interest9.99% IO · $2,483/mo × 6$14,900
Property Taxes$547/mo × 6$3,279
Insurance$262/mo × 6$1,570
Total Holding Costs$19,749
Sale Event — Second Close
Sale Price (ARV)
$328,000
HML Principal Payofffull IO loan balance
$298,300
Closing Costs3.5% of sale price
$11,480
Realtor Commission6% of sale price
$19,680
=
Net Proceeds to You
−$1,460
Deal Summary
Net Proceeds at Closing
−$1,460
Cash to First Close
$34,383
Holding Costs (6 mo)
$19,749
=
NET PROFIT
−$55,592
Max Bid by ROI Target
ROIMax Bidvs Offer
10%$259,924−$54,076
15%$257,928−$56,072
20%$255,959−$58,041
25%$254,019−$59,981
30%$252,105−$61,895
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
0.671x
DSCR
Monthly Cash Flow
−$544/mo
Cash-on-Cash Yr 1
-6.5%
$100,646 left in deal
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$298,300
Purchase (95% LTV)
$298,300
Loan-to-ARV
90.9%
Monthly Interest
$2,483/mo
Down Payment5% of $314,000 purchase
$15,700
+
Origination Fee1 pts on $298,300 loan
$2,983
+
Closing Costs5% of purchase
$15,700
=
Cash to First Close
$34,383
Holding Period — 2 Months
HML Interest9.99% IO · $2,483/mo × 2$4,967
Property Taxes$547/mo × 2$1,093
Insurance$262/mo × 2$523
Total Holding Costs$6,583
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$246,000
HML Principal Payofffull IO loan balance
$298,300
Origination Fee1 pts on $246,000
$2,460
Closing Coststitle / appraisal / escrow
$4,920
=
Cash to Bring to Close
−$59,680
Deal Summary
Cash to First Close
$34,383
+
Holding Costs (2 mo)
$6,583
Cash to Bring at Refi
+$59,680
=
Capital Left in Deal
$100,646
Equity Position — Day 1 Post-Refi
ARV
$328,000
DSCR Loan Balance
$246,000
=
Equity in Property
$82,000 (25.0%)
Capital Left in Deal
$100,646
=
Value Created
−$18,646
$82,000 equity on $100,646 deployed = 0.8× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$2,179
Property Taxes
$547
Insurance
$262
Maintenance (6% rent)
$131
Management (6% rent)
$131
=
OpEx Subtotal
$1,070
=
Net Operating Income
$1,109
DSCR P&I
$1,653/mo
=
Net Cash Flow
−$544/mo
DSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$246,000
Monthly P&I$1,653/mo
Net Cash Flow−$544/mo
Cash Still Required−$59,680
DSCR
0.671x✗ Fail
Lender DSCR
0.885x✗ Fail
No Cash-Out
75.0% LTV — capped short $59,680
Loan Amount$246,000
Monthly P&I$1,653/mo
Net Cash Flow−$544/mo
Cash Still Required−$59,680
DSCR
0.671x✗ Fail
Lender DSCR
0.885x✗ Fail
Required Rent by DSCR Target
TargetRent Neededvs Current
1.00x$2,797/mo+$618 needed
1.10x$2,985/mo+$806 needed
1.20x$3,173/mo+$994 needed
1.30x$3,361/mo+$1,182 needed
1.40x$3,548/mo+$1,369 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
0.671x
DSCR
Monthly Cash Flow
−$544/mo
Cash-on-Cash Yr 1
-7.0%
$92,696 left in deal
Acquisition Event — First Close
Purchase Price
$314,000
+
Closing Costs5% of purchase
$15,700
=
Total Cash to First Close
$329,700
Holding Period — 2 Months
Property Taxes$547/mo × 2$1,093
Insurance$262/mo × 2$523
Total Holding Costs$1,616
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$246,000
Origination Fee1 pts on $246,000
$2,460
Closing Coststitle / appraisal / escrow
$4,920
=
Net Cash Recovered
$238,620
Deal Summary
Total Cash to First Close
$329,700
+
Holding Costs (2 mo)
$1,616
Net Cash Recovered at Refi
$238,620
=
Capital Left in Deal
$92,696
Equity Position — Day 1 Post-Refi
ARV
$328,000
DSCR Loan Balance
$246,000
=
Equity in Property
$82,000 (25.0%)
Capital Left in Deal
$92,696
=
Value Created
−$10,696
$82,000 equity on $92,696 deployed = 0.9× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$2,179
Property Taxes
$547
Insurance
$262
Maintenance (6% rent)
$131
Management (6% rent)
$131
=
OpEx Subtotal
$1,070
=
Net Operating Income
$1,109
DSCR P&I
$1,653/mo
=
Net Cash Flow
−$544/mo
DSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$246,000
Monthly P&I$1,653/mo
Net Cash Flow−$544/mo
Cash Still Required−$92,696
DSCR
0.671x✗ Fail
Lender DSCR
0.885x✗ Fail
No Cash-Out
75.0% LTV — capped short $92,696
Loan Amount$246,000
Monthly P&I$1,653/mo
Net Cash Flow−$544/mo
Cash Still Required−$92,696
DSCR
0.671x✗ Fail
Lender DSCR
0.885x✗ Fail
Required Rent by DSCR Target
TargetRent Neededvs Current
1.00x$2,797/mo+$618 needed
1.10x$2,985/mo+$806 needed
1.20x$3,173/mo+$994 needed
1.30x$3,361/mo+$1,182 needed
1.40x$3,548/mo+$1,369 needed
30-Year Hold Projection
Click to expand
DSCR loan $246,000 @ 7.1% · 3% rent growth · Via Hard Money · Via All Cash (same DSCR loan)