8638 Little River Rd, Houston, TX 77064
3bd / 2ba · 1,404 sqft · built 1976 · Single Family (SFR)Analyzed Apr 16, 2026$
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Scenario 1 — Flip
Hard money loan · sell at ARV after rehab
❌
FAILS FLIP
Min 20% ROI · 6-mo hold
-95.5%
Flip ROI
Cash to First Close
$19,000
what you bring day 1
Net Profit
−$29,542
Max Bid @ 20%
$134,536
−$29,542 profit ÷ $30,923 total invested = -95.5%
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$177,809
Purchase (95% LTV)
$156,749
Rehab (100%)
$21,060
Loan-to-ARV
89.8%
Monthly Interest
$1,480/mo
Down Payment5% of $164,999 purchase
$8,250+
Origination Fee1 pts on $177,809 loan
$2,500+
Closing Costs5% of purchase
$8,250=
Cash to First Close
$19,000Holding Period — 6 Months
HML Interest9.99% IO · $1,480/mo × 6$8,882
Property Taxes$1/mo × 6$6
Insurance$155/mo × 6$930
Total Holding Costs$9,817
Contingency Reserve10% of rehab — held, not at first close$2,106
Sale Event — Second Close
Sale Price (ARV)
$198,000−
HML Principal Payofffull IO loan balance
$177,809−
Closing Costs3.5% of sale price
$6,930−
Realtor Commission6% of sale price
$11,880=
Net Proceeds to You
$1,381Deal Summary
Net Proceeds at Closing
$1,381−
Cash to First Close
$19,000−
Holding Costs (6 mo)
$9,817−
Contingency Reserve
$2,106=
NET PROFIT
−$29,542Max Bid by ROI Target
| ROI | Max Bid | vs Offer |
|---|---|---|
| 10% | $136,775 | −$28,224 |
| 15% | $135,647 | −$29,352 |
| 20% ← | $134,536 | −$30,463 |
| 25% | $133,439 | −$31,560 |
| 30% | $132,358 | −$32,641 |
Scenario 2 — HM→DSCR
Hard money @ 9.99% IO → DSCR refi · 75% ARV · 7.1% / 30yr
✅
PASSES DSCR
Min 1.30x · 7.1% / 30-yr DSCR · 75% of ARV
1.393x
DSCR
Monthly Cash Flow
$392/mo
Cash-on-Cash Yr 1
8.1%
$58,142 left in deal
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$177,809
Purchase (95% LTV)
$156,749
Rehab (100%)
$21,060
Loan-to-ARV
89.8%
Monthly Interest
$1,480/mo
Down Payment5% of $164,999 purchase
$8,250+
Origination Fee1 pts on $177,809 loan
$2,500+
Closing Costs5% of purchase
$8,250=
Cash to First Close
$19,000Holding Period — 2 Months
HML Interest9.99% IO · $1,480/mo × 2$2,961
Property Taxes$1/mo × 2$2
Insurance$155/mo × 2$310
Total Holding Costs$3,272
Contingency Reserve10% of rehab — held, not at first close$2,106
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$148,500−
HML Principal Payofffull IO loan balance
$177,809−
Origination Fee1 pts on $148,500
$1,485−
Closing Coststitle / appraisal / escrow
$2,970=
Cash to Bring to Close
−$33,764Deal Summary
Cash to First Close
$19,000+
Holding Costs (2 mo)
$3,272+
Contingency Reserve
$2,106−
Cash to Bring at Refi
+$33,764=
Capital Left in Deal
$58,142Equity Position — Day 1 Post-Refi
ARV
$198,000−
DSCR Loan Balance
$148,500=
Equity in Property
$49,500 (25.0%)−
Capital Left in Deal
$58,142=
Value Created
−$8,642$49,500 equity on $58,142 deployed = 0.9× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$1,757−
Property Taxes
$1−
Insurance
$155−
Maintenance (6% rent)
$105−
Management (6% rent)
$105=
OpEx Subtotal
$367=
Net Operating Income
$1,390−
DSCR P&I
$998/mo=
Net Cash Flow
$392/moDSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$148,500
Monthly P&I$998/mo
Net Cash Flow$392/mo
Cash Still Required−$33,764
DSCR
1.393x✓ Pass
Lender DSCR
1.523x✓ Pass
No Cash-Out
75.0% LTV — capped short $33,764
Loan Amount$148,500
Monthly P&I$998/mo
Net Cash Flow$392/mo
Cash Still Required−$33,764
DSCR
1.393x✓ Pass
Lender DSCR
1.523x✓ Pass
Required Rent by DSCR Target
| Target | Rent Needed | vs Current |
|---|---|---|
| 1.00x | $1,311/mo | ✓ met |
| 1.10x | $1,425/mo | ✓ met |
| 1.20x | $1,538/mo | ✓ met |
| 1.30x ← | $1,652/mo | ✓ met |
| 1.40x | $1,765/mo | +$8 needed |
Scenario 3 — Cash→DSCR
All-cash purchase → DSCR refi · 75% ARV · 7.1% / 30yr
✅
PASSES DSCR
Min 1.30x · 7.1% / 30-yr DSCR · 75% of ARV
1.393x
DSCR
Monthly Cash Flow
$392/mo
Cash-on-Cash Yr 1
8.9%
$52,682 left in deal
Acquisition Event — First Close
Purchase Price
$164,999+
Rehab Budget
$21,060+
Closing Costs5% of purchase
$8,250=
Total Cash to First Close
$194,309Holding Period — 2 Months
Property Taxes$1/mo × 2$2
Insurance$155/mo × 2$310
Total Holding Costs$312
Contingency Reserve10% of rehab — held, not at first close$2,106
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$148,500−
Origination Fee1 pts on $148,500
$1,485−
Closing Coststitle / appraisal / escrow
$2,970=
Net Cash Recovered
$144,045Deal Summary
Total Cash to First Close
$194,309+
Holding Costs (2 mo)
$312+
Contingency Reserve
$2,106−
Net Cash Recovered at Refi
$144,045=
Capital Left in Deal
$52,682Equity Position — Day 1 Post-Refi
ARV
$198,000−
DSCR Loan Balance
$148,500=
Equity in Property
$49,500 (25.0%)−
Capital Left in Deal
$52,682=
Value Created
−$3,182$49,500 equity on $52,682 deployed = 0.9× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$1,757−
Property Taxes
$1−
Insurance
$155−
Maintenance (6% rent)
$105−
Management (6% rent)
$105=
OpEx Subtotal
$367=
Net Operating Income
$1,390−
DSCR P&I
$998/mo=
Net Cash Flow
$392/moDSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$148,500
Monthly P&I$998/mo
Net Cash Flow$392/mo
Cash Still Required−$52,682
DSCR
1.393x✓ Pass
Lender DSCR
1.523x✓ Pass
No Cash-Out
75.0% LTV — capped short $52,682
Loan Amount$148,500
Monthly P&I$998/mo
Net Cash Flow$392/mo
Cash Still Required−$52,682
DSCR
1.393x✓ Pass
Lender DSCR
1.523x✓ Pass
Required Rent by DSCR Target
| Target | Rent Needed | vs Current |
|---|---|---|
| 1.00x | $1,311/mo | ✓ met |
| 1.10x | $1,425/mo | ✓ met |
| 1.20x | $1,538/mo | ✓ met |
| 1.30x ← | $1,652/mo | ✓ met |
| 1.40x | $1,765/mo | +$8 needed |