20115 Dering Ct, Katy, TX 77450
4bd / 2.5ba · 3,032 sqft · built 1973 · Single Family (SFR)Analyzed Jul 23, 2026$
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Scenario 1 — Flip
Hard money loan · sell at ARV after rehab
❌
FAILS FLIP
Min 20% ROI · 6-mo hold
-36.0%
Flip ROI
Cash to First Close
$38,525
what you bring day 1
Net Profit
−$23,184
Max Bid @ 20%
$318,491
−$23,184 profit ÷ $64,360 total invested = -36.0%
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$352,499
Purchase (95% LTV)
$332,499
Rehab (100%)
$20,000
Loan-to-ARV
81.0%
Monthly Interest
$2,935/mo
Down Payment5% of $349,999 purchase
$17,500+
Origination Fee1 pts on $352,499 loan
$3,525+
Closing Costs5% of purchase
$17,500=
Cash to First Close
$38,525Holding Period — 6 Months
HML Interest9.99% IO · $2,935/mo × 6$17,607
Property Taxes$730/mo × 6$4,378
Insurance$308/mo × 6$1,850
Total Holding Costs$23,835
Contingency Reserve10% of rehab — held, not at first close$2,000
Sale Event — Second Close
Sale Price (ARV)
$435,000−
HML Principal Payofffull IO loan balance
$352,499−
Closing Costs3.5% of sale price
$15,225−
Realtor Commission6% of sale price
$26,100=
Net Proceeds to You
$41,176Deal Summary
Net Proceeds at Closing
$41,176−
Cash to First Close
$38,525−
Holding Costs (6 mo)
$23,835−
Contingency Reserve
$2,000=
NET PROFIT
−$23,184Max Bid by ROI Target
| ROI | Max Bid | vs Offer |
|---|---|---|
| 10% | $323,743 | −$26,256 |
| 15% | $321,098 | −$28,901 |
| 20% ← | $318,491 | −$31,508 |
| 25% | $315,920 | −$34,079 |
| 30% | $313,385 | −$36,614 |
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
0.697x
DSCR
Monthly Cash Flow
−$664/mo
Cash-on-Cash Yr 1
-9.4%
$84,507 left in deal
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$352,499
Purchase (95% LTV)
$332,499
Rehab (100%)
$20,000
Loan-to-ARV
81.0%
Monthly Interest
$2,935/mo
Down Payment5% of $349,999 purchase
$17,500+
Origination Fee1 pts on $352,499 loan
$3,525+
Closing Costs5% of purchase
$17,500=
Cash to First Close
$38,525Holding Period — 2 Months
HML Interest9.99% IO · $2,935/mo × 2$5,869
Property Taxes$730/mo × 2$1,459
Insurance$308/mo × 2$617
Total Holding Costs$7,945
Contingency Reserve10% of rehab — held, not at first close$2,000
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$326,250−
HML Principal Payofffull IO loan balance
$352,499−
Origination Fee1 pts on $326,250
$3,263−
Closing Coststitle / appraisal / escrow
$6,525=
Cash to Bring to Close
−$36,037Deal Summary
Cash to First Close
$38,525+
Holding Costs (2 mo)
$7,945+
Contingency Reserve
$2,000−
Cash to Bring at Refi
+$36,037=
Capital Left in Deal
$84,507Equity Position — Day 1 Post-Refi
ARV
$435,000−
DSCR Loan Balance
$326,250=
Equity in Property
$108,750 (25.0%)−
Capital Left in Deal
$84,507=
Value Created
$24,243$108,750 equity on $84,507 deployed = 1.3× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$2,916−
Property Taxes
$730−
Insurance
$308−
Maintenance (6% rent)
$175−
Management (6% rent)
$175=
OpEx Subtotal
$1,388=
Net Operating Income
$1,528−
DSCR P&I
$2,193/mo=
Net Cash Flow
−$664/moDSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$326,250
Monthly P&I$2,193/mo
Net Cash Flow−$664/mo
Cash Still Required−$36,037
DSCR
0.697x✗ Fail
Lender DSCR
0.903x✗ Fail
No Cash-Out
75.0% LTV — capped short $36,037
Loan Amount$326,250
Monthly P&I$2,193/mo
Net Cash Flow−$664/mo
Cash Still Required−$36,037
DSCR
0.697x✗ Fail
Lender DSCR
0.903x✗ Fail
Required Rent by DSCR Target
| Target | Rent Needed | vs Current |
|---|---|---|
| 1.00x | $3,671/mo | +$755 needed |
| 1.10x | $3,920/mo | +$1,004 needed |
| 1.20x | $4,169/mo | +$1,253 needed |
| 1.30x ← | $4,418/mo | +$1,502 needed |
| 1.40x | $4,668/mo | +$1,752 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
0.697x
DSCR
Monthly Cash Flow
−$664/mo
Cash-on-Cash Yr 1
-10.6%
$75,112 left in deal
Acquisition Event — First Close
Purchase Price
$349,999+
Rehab Budget
$20,000+
Closing Costs5% of purchase
$17,500=
Total Cash to First Close
$387,499Holding Period — 2 Months
Property Taxes$730/mo × 2$1,459
Insurance$308/mo × 2$617
Total Holding Costs$2,076
Contingency Reserve10% of rehab — held, not at first close$2,000
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$326,250−
Origination Fee1 pts on $326,250
$3,263−
Closing Coststitle / appraisal / escrow
$6,525=
Net Cash Recovered
$316,463Deal Summary
Total Cash to First Close
$387,499+
Holding Costs (2 mo)
$2,076+
Contingency Reserve
$2,000−
Net Cash Recovered at Refi
$316,463=
Capital Left in Deal
$75,112Equity Position — Day 1 Post-Refi
ARV
$435,000−
DSCR Loan Balance
$326,250=
Equity in Property
$108,750 (25.0%)−
Capital Left in Deal
$75,112=
Value Created
$33,638$108,750 equity on $75,112 deployed = 1.4× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$2,916−
Property Taxes
$730−
Insurance
$308−
Maintenance (6% rent)
$175−
Management (6% rent)
$175=
OpEx Subtotal
$1,388=
Net Operating Income
$1,528−
DSCR P&I
$2,193/mo=
Net Cash Flow
−$664/moDSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$326,250
Monthly P&I$2,193/mo
Net Cash Flow−$664/mo
Cash Still Required−$75,112
DSCR
0.697x✗ Fail
Lender DSCR
0.903x✗ Fail
No Cash-Out
75.0% LTV — capped short $75,112
Loan Amount$326,250
Monthly P&I$2,193/mo
Net Cash Flow−$664/mo
Cash Still Required−$75,112
DSCR
0.697x✗ Fail
Lender DSCR
0.903x✗ Fail
Required Rent by DSCR Target
| Target | Rent Needed | vs Current |
|---|---|---|
| 1.00x | $3,671/mo | +$755 needed |
| 1.10x | $3,920/mo | +$1,004 needed |
| 1.20x | $4,169/mo | +$1,253 needed |
| 1.30x ← | $4,418/mo | +$1,502 needed |
| 1.40x | $4,668/mo | +$1,752 needed |