4518 Lally Brook Ct, Katy, TX 77493
Katy, 77493
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Listing Agent
Oscar Jimenez
(936) 320-7143oscarmata@primerealtyre.com
MMX Group/4518 Lally Brook Ct, Katy, TX 77493
Flip-158.3%✗
HM→DSCR0.653x✗
Cash→DSCR0.653x✗
New Deal

4518 Lally Brook Ct, Katy, TX 77493

5bd / 2.5ba · 2,820 sqft · built 2022 · Single FamilyAnalyzed Jul 30, 2026
DSCR
0.612x
FAIL
NOI ÷ debt service
Lender DSCR
0.851x
FAIL
EGI ÷ P&I+tax+ins+HOA
Monthly Cash Flow
−$792/mo
FAIL
post all expenses · day 1
Cash to Close
$130,270
80% LTV · single close
Value Generated
$24,000
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
-158.3%
Flip ROI
Cash to First Close
$42,348
what you bring day 1
Net Profit
−$110,971
Max Bid @ 20%
$275,771
−$110,971 profit  ÷  $70,121 total invested  =  -158.3%
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$384,750
Purchase (95% LTV)
$365,750
Rehab (100%)
$19,000
Loan-to-ARV
101.3%
Monthly Interest
$3,203/mo
Down Payment5% of $385,000 purchase
$19,250
+
Origination Fee1 pts on $384,750 loan
$3,848
+
Closing Costs5% of purchase
$19,250
=
Cash to First Close
$42,348
Holding Period — 6 Months
HML Interest9.99% IO · $3,203/mo × 6$19,218
Property Taxes$773/mo × 6$4,635
Insurance$337/mo × 6$2,020
Total Holding Costs$25,873
Contingency Reserve10% of rehab — held, not at first close$1,900
Sale Event — Second Close
Sale Price (ARV)
$380,000
−
HML Principal Payofffull IO loan balance
$384,750
−
Closing Costs3.5% of sale price
$13,300
−
Realtor Commission6% of sale price
$22,800
=
Net Proceeds to You
−$40,850
Deal Summary
Net Proceeds at Closing
−$40,850
−
Cash to First Close
$42,348
−
Holding Costs (6 mo)
$25,873
−
Contingency Reserve
$1,900
=
NET PROFIT
−$110,971
Max Bid by ROI Target
ROIMax Bidvs Offer
10%$280,419−$104,581
15%$278,079−$106,921
20% ←$275,771−$109,229
25%$273,497−$111,503
30%$271,254−$113,746
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
0.612x
DSCR
Cash to Close
$130,270
single close · no bridge
Monthly Cash Flow
−$792/mo
Cash-on-Cash Yr 1
-7.3%
Acquisition — Single Close
DSCR Purchase Loan — 7.1% / 30yr · Minimal Rehab · No Bridge
Loan Amount
$304,000
LTV (80% of ARV)
80.0%
Monthly P&I
$2,043/mo
Equity at Close
$76,000
Down Payment21.0% of $385,000 purchase
$81,000
+
Origination Fee1 pts on $304,000
$3,040
+
DSCR Closing Coststitle / appraisal / escrow
$6,080
+
Acquisition Closing5% of purchase
$19,250
+
Rehab Budgetcash, not financed by DSCR loan
$19,000
Contingency Reserve10% of rehab$1,900
=
Total Cash to Close
$130,270
Equity Position — Day 1 Post-Refi
Property Value
$380,000
−
DSCR Loan Balance
$304,000
=
Equity in Property
$76,000 (20.0%)
−
Capital Left in Deal
$130,270
=
Value Created
−$54,270
$76,000 equity on $130,270 deployed = 0.6× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$2,682
−
Property Taxes
$773
−
Insurance
$337
−
Maintenance (6% rent)
$161
−
Management (6% rent)
$161
=
OpEx Subtotal
$1,431
=
Net Operating Income
$1,251
−
DSCR P&I
$2,043/mo
=
Net Cash Flow
−$792/mo
DSCR Ratios
DSCR (NOI / Debt Service)
0.612x✗ Fail
Lender DSCR (EGI / P&I+tax+ins+HOA)
0.851x✗ Fail
Required Rent by DSCR Target
TargetRent Neededvs Current
1.00x$3,582/mo+$900 needed
1.10x$3,814/mo+$1,132 needed
1.20x$4,046/mo+$1,364 needed
1.30x ←$4,278/mo+$1,596 needed
1.40x$4,511/mo+$1,829 needed