MMX Group/2651 Lark Ln, Humble, TX 77396
Flip-56.3%
HM→DSCR0.900x
Cash→DSCR0.900x
New Deal

2651 Lark Ln, Humble, TX 77396

3bd / 2ba · 1,418 sqft · built 1979 · Single Family (SFR)Analyzed Apr 20, 2026
Flip ROI
-56.3%
FAIL
−$18,861 loss
6-mo hold · profit ÷ cash out
DSCR — 75% LTV
0.900x
FAIL
cash-out refi · NOI / debt service
DSCR — No Cash-Out
0.900x
FAIL
75.0% LTV · capped, short $23,882
Max Bid @ 20%
$143,379
FAIL
✗ $21,620 over max
Total Invested
$25,499
down + points + costs + holding, pre-refi
Cash Left in Deal
$49,380
after HM → DSCR cash-out refi
Value Generated
$27,001
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
-56.3%
Flip ROI
Cash to First Close
$19,000
what you bring day 1
Net Profit
−$18,861
Max Bid @ 20%
$143,379
−$18,861 profit  ÷  $33,497 total invested  =  -56.3%
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$181,749
Purchase (95% LTV)
$156,749
Rehab (100%)
$25,000
Loan-to-ARV
83.8%
Monthly Interest
$1,513/mo
Down Payment5% of $164,999 purchase
$8,250
+
Origination Fee1 pts on $181,749 loan
$2,500
+
Closing Costs5% of purchase
$8,250
=
Cash to First Close
$19,000
Holding Period — 6 Months
HML Interest9.99% IO · $1,513/mo × 6$9,078
Property Taxes$328/mo × 6$1,969
Insurance$158/mo × 6$950
Total Holding Costs$11,997
Contingency Reserve10% of rehab — held, not at first close$2,500
Sale Event — Second Close
Sale Price (ARV)
$217,000
HML Principal Payofffull IO loan balance
$181,749
Closing Costs3.5% of sale price
$7,595
Realtor Commission6% of sale price
$13,020
=
Net Proceeds to You
$14,636
Deal Summary
Net Proceeds at Closing
$14,636
Cash to First Close
$19,000
Holding Costs (6 mo)
$11,997
Contingency Reserve
$2,500
=
NET PROFIT
−$18,861
Max Bid by ROI Target
ROIMax Bidvs Offer
10%$145,977−$19,022
15%$144,668−$20,331
20%$143,379−$21,620
25%$142,107−$22,892
30%$140,853−$24,146
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
0.900x
DSCR
Monthly Cash Flow
−$110/mo
Cash-on-Cash Yr 1
-2.7%
$49,380 left in deal
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$181,749
Purchase (95% LTV)
$156,749
Rehab (100%)
$25,000
Loan-to-ARV
83.8%
Monthly Interest
$1,513/mo
Down Payment5% of $164,999 purchase
$8,250
+
Origination Fee1 pts on $181,749 loan
$2,500
+
Closing Costs5% of purchase
$8,250
=
Cash to First Close
$19,000
Holding Period — 2 Months
HML Interest9.99% IO · $1,513/mo × 2$3,026
Property Taxes$328/mo × 2$656
Insurance$158/mo × 2$317
Total Holding Costs$3,999
Contingency Reserve10% of rehab — held, not at first close$2,500
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$162,750
HML Principal Payofffull IO loan balance
$181,749
Origination Fee1 pts on $162,750
$1,628
Closing Coststitle / appraisal / escrow
$3,255
=
Cash to Bring to Close
−$23,882
Deal Summary
Cash to First Close
$19,000
+
Holding Costs (2 mo)
$3,999
+
Contingency Reserve
$2,500
Cash to Bring at Refi
+$23,882
=
Capital Left in Deal
$49,380
Equity Position — Day 1 Post-Refi
ARV
$217,000
DSCR Loan Balance
$162,750
=
Equity in Property
$54,250 (25.0%)
Capital Left in Deal
$49,380
=
Value Created
$4,870
$54,250 equity on $49,380 deployed = 1.1× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$1,671
Property Taxes
$328
Insurance
$158
Maintenance (6% rent)
$100
Management (6% rent)
$100
=
OpEx Subtotal
$687
=
Net Operating Income
$984
DSCR P&I
$1,094/mo
=
Net Cash Flow
−$110/mo
DSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$162,750
Monthly P&I$1,094/mo
Net Cash Flow−$110/mo
Cash Still Required−$23,882
DSCR
0.900x✗ Fail
Lender DSCR
1.057x✓ Pass
No Cash-Out
75.0% LTV — capped short $23,882
Loan Amount$162,750
Monthly P&I$1,094/mo
Net Cash Flow−$110/mo
Cash Still Required−$23,882
DSCR
0.900x✗ Fail
Lender DSCR
1.057x✓ Pass
Required Rent by DSCR Target
TargetRent Neededvs Current
1.00x$1,796/mo+$125 needed
1.10x$1,920/mo+$249 needed
1.20x$2,044/mo+$373 needed
1.30x$2,168/mo+$497 needed
1.40x$2,293/mo+$622 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
0.900x
DSCR
Monthly Cash Flow
−$110/mo
Cash-on-Cash Yr 1
-3.0%
$43,854 left in deal
Acquisition Event — First Close
Purchase Price
$164,999
+
Rehab Budget
$25,000
+
Closing Costs5% of purchase
$8,250
=
Total Cash to First Close
$198,249
Holding Period — 2 Months
Property Taxes$328/mo × 2$656
Insurance$158/mo × 2$317
Total Holding Costs$973
Contingency Reserve10% of rehab — held, not at first close$2,500
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$162,750
Origination Fee1 pts on $162,750
$1,628
Closing Coststitle / appraisal / escrow
$3,255
=
Net Cash Recovered
$157,868
Deal Summary
Total Cash to First Close
$198,249
+
Holding Costs (2 mo)
$973
+
Contingency Reserve
$2,500
Net Cash Recovered at Refi
$157,868
=
Capital Left in Deal
$43,854
Equity Position — Day 1 Post-Refi
ARV
$217,000
DSCR Loan Balance
$162,750
=
Equity in Property
$54,250 (25.0%)
Capital Left in Deal
$43,854
=
Value Created
$10,396
$54,250 equity on $43,854 deployed = 1.2× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$1,671
Property Taxes
$328
Insurance
$158
Maintenance (6% rent)
$100
Management (6% rent)
$100
=
OpEx Subtotal
$687
=
Net Operating Income
$984
DSCR P&I
$1,094/mo
=
Net Cash Flow
−$110/mo
DSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$162,750
Monthly P&I$1,094/mo
Net Cash Flow−$110/mo
Cash Still Required−$43,854
DSCR
0.900x✗ Fail
Lender DSCR
1.057x✓ Pass
No Cash-Out
75.0% LTV — capped short $43,854
Loan Amount$162,750
Monthly P&I$1,094/mo
Net Cash Flow−$110/mo
Cash Still Required−$43,854
DSCR
0.900x✗ Fail
Lender DSCR
1.057x✓ Pass
Required Rent by DSCR Target
TargetRent Neededvs Current
1.00x$1,796/mo+$125 needed
1.10x$1,920/mo+$249 needed
1.20x$2,044/mo+$373 needed
1.30x$2,168/mo+$497 needed
1.40x$2,293/mo+$622 needed
30-Year Hold Projection
Click to expand
DSCR loan $162,750 @ 7.1% · 3% rent growth · Via Hard Money · Via All Cash (same DSCR loan)