15822 Herongate Dr, Houston, TX 77084
3bd / 2ba · 1,858 sqft · built 1977 · Single Family (SFR)Analyzed Jun 27, 2026$
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Scenario 1 — Flip
Hard money loan · sell at ARV after rehab
❌
FAILS FLIP
Min 20% ROI · 6-mo hold
-96.9%
Flip ROI
Cash to First Close
$21,500
what you bring day 1
Net Profit
−$38,893
Max Bid @ 20%
$149,310
−$38,893 profit ÷ $40,119 total invested = -96.9%
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$220,499
Purchase (95% LTV)
$180,499
Rehab (100%)
$40,000
Loan-to-ARV
90.0%
Monthly Interest
$1,836/mo
Down Payment5% of $189,999 purchase
$9,500+
Origination Fee1 pts on $220,499 loan
$2,500+
Closing Costs5% of purchase
$9,500=
Cash to First Close
$21,500Holding Period — 6 Months
HML Interest9.99% IO · $1,836/mo × 6$11,014
Property Taxes$409/mo × 6$2,455
Insurance$192/mo × 6$1,150
Total Holding Costs$14,619
Contingency Reserve10% of rehab — held, not at first close$4,000
Sale Event — Second Close
Sale Price (ARV)
$245,000−
HML Principal Payofffull IO loan balance
$220,499−
Closing Costs3.5% of sale price
$8,575−
Realtor Commission6% of sale price
$14,700=
Net Proceeds to You
$1,226Deal Summary
Net Proceeds at Closing
$1,226−
Cash to First Close
$21,500−
Holding Costs (6 mo)
$14,619−
Contingency Reserve
$4,000=
NET PROFIT
−$38,893Max Bid by ROI Target
| ROI | Max Bid | vs Offer |
|---|---|---|
| 10% | $152,256 | −$37,743 |
| 15% | $150,772 | −$39,227 |
| 20% ← | $149,310 | −$40,689 |
| 25% | $147,868 | −$42,131 |
| 30% | $146,446 | −$43,553 |
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
0.928x
DSCR
Monthly Cash Flow
−$89/mo
Cash-on-Cash Yr 1
-1.5%
$72,634 left in deal
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$220,499
Purchase (95% LTV)
$180,499
Rehab (100%)
$40,000
Loan-to-ARV
90.0%
Monthly Interest
$1,836/mo
Down Payment5% of $189,999 purchase
$9,500+
Origination Fee1 pts on $220,499 loan
$2,500+
Closing Costs5% of purchase
$9,500=
Cash to First Close
$21,500Holding Period — 2 Months
HML Interest9.99% IO · $1,836/mo × 2$3,671
Property Taxes$409/mo × 2$818
Insurance$192/mo × 2$383
Total Holding Costs$4,873
Contingency Reserve10% of rehab — held, not at first close$4,000
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$183,750−
HML Principal Payofffull IO loan balance
$220,499−
Origination Fee1 pts on $183,750
$1,838−
Closing Coststitle / appraisal / escrow
$3,675=
Cash to Bring to Close
−$42,262Deal Summary
Cash to First Close
$21,500+
Holding Costs (2 mo)
$4,873+
Contingency Reserve
$4,000−
Cash to Bring at Refi
+$42,262=
Capital Left in Deal
$72,634Equity Position — Day 1 Post-Refi
ARV
$245,000−
DSCR Loan Balance
$183,750=
Equity in Property
$61,250 (25.0%)−
Capital Left in Deal
$72,634=
Value Created
−$11,384$61,250 equity on $72,634 deployed = 0.8× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$1,985−
Property Taxes
$409−
Insurance
$192−
Maintenance (6% rent)
$119−
Management (6% rent)
$119=
OpEx Subtotal
$839=
Net Operating Income
$1,146−
DSCR P&I
$1,235/mo=
Net Cash Flow
−$89/moDSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$183,750
Monthly P&I$1,235/mo
Net Cash Flow−$89/mo
Cash Still Required−$42,262
DSCR
0.928x✗ Fail
Lender DSCR
1.081x✓ Pass
No Cash-Out
75.0% LTV — capped short $42,262
Loan Amount$183,750
Monthly P&I$1,235/mo
Net Cash Flow−$89/mo
Cash Still Required−$42,262
DSCR
0.928x✗ Fail
Lender DSCR
1.081x✓ Pass
Required Rent by DSCR Target
| Target | Rent Needed | vs Current |
|---|---|---|
| 1.00x | $2,086/mo | +$101 needed |
| 1.10x | $2,226/mo | +$241 needed |
| 1.20x | $2,367/mo | +$382 needed |
| 1.30x ← | $2,507/mo | +$522 needed |
| 1.40x | $2,647/mo | +$662 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
0.928x
DSCR
Monthly Cash Flow
−$89/mo
Cash-on-Cash Yr 1
-1.6%
$66,463 left in deal
Acquisition Event — First Close
Purchase Price
$189,999+
Rehab Budget
$40,000+
Closing Costs5% of purchase
$9,500=
Total Cash to First Close
$239,499Holding Period — 2 Months
Property Taxes$409/mo × 2$818
Insurance$192/mo × 2$383
Total Holding Costs$1,202
Contingency Reserve10% of rehab — held, not at first close$4,000
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$183,750−
Origination Fee1 pts on $183,750
$1,838−
Closing Coststitle / appraisal / escrow
$3,675=
Net Cash Recovered
$178,238Deal Summary
Total Cash to First Close
$239,499+
Holding Costs (2 mo)
$1,202+
Contingency Reserve
$4,000−
Net Cash Recovered at Refi
$178,238=
Capital Left in Deal
$66,463Equity Position — Day 1 Post-Refi
ARV
$245,000−
DSCR Loan Balance
$183,750=
Equity in Property
$61,250 (25.0%)−
Capital Left in Deal
$66,463=
Value Created
−$5,213$61,250 equity on $66,463 deployed = 0.9× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$1,985−
Property Taxes
$409−
Insurance
$192−
Maintenance (6% rent)
$119−
Management (6% rent)
$119=
OpEx Subtotal
$839=
Net Operating Income
$1,146−
DSCR P&I
$1,235/mo=
Net Cash Flow
−$89/moDSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$183,750
Monthly P&I$1,235/mo
Net Cash Flow−$89/mo
Cash Still Required−$66,463
DSCR
0.928x✗ Fail
Lender DSCR
1.081x✓ Pass
No Cash-Out
75.0% LTV — capped short $66,463
Loan Amount$183,750
Monthly P&I$1,235/mo
Net Cash Flow−$89/mo
Cash Still Required−$66,463
DSCR
0.928x✗ Fail
Lender DSCR
1.081x✓ Pass
Required Rent by DSCR Target
| Target | Rent Needed | vs Current |
|---|---|---|
| 1.00x | $2,086/mo | +$101 needed |
| 1.10x | $2,226/mo | +$241 needed |
| 1.20x | $2,367/mo | +$382 needed |
| 1.30x ← | $2,507/mo | +$522 needed |
| 1.40x | $2,647/mo | +$662 needed |