17786 Tree of Heaven, Conroe, TX 77385
Conroe, 77385
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Listing Agent
Sarita Kennedy
(469) 919-8212saritake11@gmail.com
MMX Group/17786 Tree of Heaven, Conroe, TX 77385
Flip-169.6%✗
HM→DSCR0.451x✗
Cash→DSCR0.451x✗
New Deal

17786 Tree of Heaven, Conroe, TX 77385

4bd / 3.5ba · 2,432 sqft · built 2022 · Single FamilyAnalyzed Jul 30, 2026
DSCR
0.422x
FAIL
NOI ÷ debt service
Lender DSCR
0.707x
FAIL
EGI ÷ P&I+tax+ins+HOA
Monthly Cash Flow
−$1,192/mo
FAIL
post all expenses · day 1
Cash to Close
$141,561
80% LTV · single close
Value Generated
$33,700
ARV − purchase − rehab
Starting Equity %
20.0%
ARV − DSCR loan ÷ ARV, day 1
$
$
$
$
$
$
Scenario 1 — Flip
Hard money loan · sell at ARV after rehab
❌
FAILS FLIP
Min 20% ROI · 6-mo hold
-169.6%
Flip ROI
Cash to First Close
$43,828
what you bring day 1
Net Profit
−$122,414
Max Bid @ 20%
$278,915
−$122,414 profit  ÷  $72,159 total invested  =  -169.6%
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$397,775
Purchase (95% LTV)
$378,575
Rehab (100%)
$19,200
Loan-to-ARV
103.6%
Monthly Interest
$3,311/mo
Down Payment5% of $398,500 purchase
$19,925
+
Origination Fee1 pts on $397,775 loan
$3,978
+
Closing Costs5% of purchase
$19,925
=
Cash to First Close
$43,828
Holding Period — 6 Months
HML Interest9.99% IO · $3,311/mo × 6$19,869
Property Taxes$742/mo × 6$4,454
Insurance$348/mo × 6$2,089
Total Holding Costs$26,411
Contingency Reserve10% of rehab — held, not at first close$1,920
Sale Event — Second Close
Sale Price (ARV)
$384,000
−
HML Principal Payofffull IO loan balance
$397,775
−
Closing Costs3.5% of sale price
$13,440
−
Realtor Commission6% of sale price
$23,040
=
Net Proceeds to You
−$50,255
Deal Summary
Net Proceeds at Closing
−$50,255
−
Cash to First Close
$43,828
−
Holding Costs (6 mo)
$26,411
−
Contingency Reserve
$1,920
=
NET PROFIT
−$122,414
Max Bid by ROI Target
ROIMax Bidvs Offer
10%$283,595−$114,905
15%$281,238−$117,262
20% ←$278,915−$119,585
25%$276,625−$121,875
30%$274,366−$124,134
Scenario 4 — Turn Key DSCR
Direct DSCR purchase · 80% of ARV · 7.1% / 30yr · one close
❌
FAILS DSCR
Min 1.30x · 7.1% / 30-yr DSCR · 80% of ARV
0.422x
DSCR
Cash to Close
$141,561
single close · no bridge
Monthly Cash Flow
−$1,192/mo
Cash-on-Cash Yr 1
-10.1%
Acquisition — Single Close
DSCR Purchase Loan — 7.1% / 30yr · Minimal Rehab · No Bridge
Loan Amount
$307,200
LTV (80% of ARV)
80.0%
Monthly P&I
$2,064/mo
Equity at Close
$76,800
Down Payment22.9% of $398,500 purchase
$91,300
+
Origination Fee1 pts on $307,200
$3,072
+
DSCR Closing Coststitle / appraisal / escrow
$6,144
+
Acquisition Closing5% of purchase
$19,925
+
Rehab Budgetcash, not financed by DSCR loan
$19,200
Contingency Reserve10% of rehab$1,920
=
Total Cash to Close
$141,561
Equity Position — Day 1 Post-Refi
Property Value
$384,000
−
DSCR Loan Balance
$307,200
=
Equity in Property
$76,800 (20.0%)
−
Capital Left in Deal
$141,561
=
Value Created
−$64,761
$76,800 equity on $141,561 deployed = 0.5× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$2,230
−
Property Taxes
$742
−
Insurance
$348
−
Maintenance (6% rent)
$134
−
Management (6% rent)
$134
=
OpEx Subtotal
$1,358
=
Net Operating Income
$872
−
DSCR P&I
$2,064/mo
=
Net Cash Flow
−$1,192/mo
DSCR Ratios
DSCR (NOI / Debt Service)
0.422x✗ Fail
Lender DSCR (EGI / P&I+tax+ins+HOA)
0.707x✗ Fail
Required Rent by DSCR Target
TargetRent Neededvs Current
1.00x$3,585/mo+$1,355 needed
1.10x$3,820/mo+$1,590 needed
1.20x$4,054/mo+$1,824 needed
1.30x ←$4,289/mo+$2,059 needed
1.40x$4,524/mo+$2,294 needed