7902 Richmond Ave, Houston, TX 77063
4bd / 3ba · 2,783 sqft · built 1960 · Single Family (SFR)Analyzed Oct 25, 2026MX Group Partner$
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Scenario 1 — Flip
Hard money loan · sell at ARV after rehab
✅
PASSES FLIP
Min 20% ROI · 6-mo hold
45.8%
Flip ROI
Cash to First Close
$43,896
what you bring day 1
Net Profit
$32,871
Max Bid @ 20%
$414,473
$32,871 profit ÷ $71,819 total invested = 45.8%
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$406,635
Purchase (95% LTV)
$378,385
Rehab (100%)
$28,250
Loan-to-ARV
72.0%
Monthly Interest
$3,385/mo
Down Payment5% of $398,300 purchase
$19,915+
Origination Fee1 pts on $406,635 loan
$4,066+
Closing Costs5% of purchase
$19,915=
Cash to First Close
$43,896Holding Period — 6 Months
HML Interest9.99% IO · $3,385/mo × 6$20,311
Property Taxes$371/mo × 6$2,228
Insurance$355/mo × 6$2,133
HOA$71/mo × 6$426
Total Holding Costs$25,098
Contingency Reserve10% of rehab — held, not at first close$2,825
Sale Event — Second Close
Sale Price (ARV)
$565,000−
HML Principal Payofffull IO loan balance
$406,635−
Closing Costs3.5% of sale price
$19,775−
Realtor Commission6% of sale price
$33,900=
Net Proceeds to You
$104,690Deal Summary
Net Proceeds at Closing
$104,690−
Cash to First Close
$43,896−
Holding Costs (6 mo)
$25,098−
Contingency Reserve
$2,825=
NET PROFIT
$32,871Max Bid by ROI Target
| ROI | Max Bid | vs Offer |
|---|---|---|
| 10% | $421,071 | ✓ ok |
| 15% | $417,748 | ✓ ok |
| 20% ← | $414,473 | ✓ ok |
| 25% | $411,243 | ✓ ok |
| 30% | $408,059 | ✓ ok |
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
0.744x
DSCR
Monthly Cash Flow
−$729/mo
Cash-on-Cash Yr 1
-17.3%
$50,685 left in deal
Acquisition Event — First Close
Hard Money Loan — 9.99% Interest-Only
Loan Amount
$406,635
Purchase (95% LTV)
$378,385
Rehab (100%)
$28,250
Loan-to-ARV
72.0%
Monthly Interest
$3,385/mo
Down Payment5% of $398,300 purchase
$19,915+
Origination Fee1 pts on $406,635 loan
$4,066+
Closing Costs5% of purchase
$19,915=
Cash to First Close
$43,896Holding Period — 2 Months
HML Interest9.99% IO · $3,385/mo × 2$6,770
Property Taxes$371/mo × 2$743
Insurance$355/mo × 2$711
HOA$71/mo × 2$142
Total Holding Costs$8,366
Contingency Reserve10% of rehab — held, not at first close$2,825
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$423,750−
HML Principal Payofffull IO loan balance
$406,635−
Origination Fee1 pts on $423,750
$4,238−
Closing Coststitle / appraisal / escrow
$8,475=
Cash Back to You
+$4,403Deal Summary
Cash to First Close
$43,896+
Holding Costs (2 mo)
$8,366+
Contingency Reserve
$2,825−
Cash Back at Refi
−$4,403=
Capital Left in Deal
$50,685Equity Position — Day 1 Post-Refi
ARV
$565,000−
DSCR Loan Balance
$423,750=
Equity in Property
$141,250 (25.0%)−
Capital Left in Deal
$50,685=
Value Created
$90,565$141,250 equity on $50,685 deployed = 2.8× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$3,314−
Property Taxes
$371−
Insurance
$355−
Maintenance (6% rent)
$199−
Management (6% rent)
$199−
HOA
$71=
OpEx Subtotal
$1,195=
Net Operating Income
$2,119−
DSCR P&I
$2,848/mo=
Net Cash Flow
−$729/moDSCR Ratios — Cash-Out vs No Cash-Out vs DSCR=1.0
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$423,750
Monthly P&I$2,848/mo
Net Cash Flow−$729/mo
Cash Back at Refi+$4,403
DSCR
0.744x✗ Fail
Lender DSCR
0.909x✗ Fail
No Cash-Out
74.2% LTV — breakeven refi
Loan Amount$419,211
Monthly P&I$2,817/mo
Net Cash Flow−$699/mo
Cash Back at Refi+$0
DSCR
0.752x✗ Fail
Lender DSCR
0.917x✗ Fail
DSCR = 1.00x
55.8% LTV — still short $100,838
Loan Amount$315,255
Monthly P&I$2,119/mo
Net Cash Flow$0/mo
Cash Still Required−$100,838
DSCR
1.000x✗ Fail
Lender DSCR
1.136x✓ Pass
Required Rent by DSCR Target
| Target | Rent Needed | vs Current |
|---|---|---|
| 1.00x | $4,143/mo | +$829 needed |
| 1.10x | $4,466/mo | +$1,152 needed |
| 1.20x | $4,790/mo | +$1,476 needed |
| 1.30x ← | $5,113/mo | +$1,799 needed |
| 1.40x | $5,437/mo | +$2,123 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
0.744x
DSCR
Monthly Cash Flow
−$729/mo
Cash-on-Cash Yr 1
-22.0%
$39,848 left in deal
Acquisition Event — First Close
Purchase Price
$398,300+
Rehab Budget
$28,250+
Closing Costs5% of purchase
$19,915=
Total Cash to First Close
$446,465Holding Period — 2 Months
Property Taxes$371/mo × 2$743
Insurance$355/mo × 2$711
HOA$71/mo × 2$142
Total Holding Costs$1,595
Contingency Reserve10% of rehab — held, not at first close$2,825
DSCR Refinance — Second Close
DSCR Loan Proceeds75% of ARV · 7.1% / 30yr
$423,750−
Origination Fee1 pts on $423,750
$4,238−
Closing Coststitle / appraisal / escrow
$8,475=
Net Cash Recovered
$411,038Deal Summary
Total Cash to First Close
$446,465+
Holding Costs (2 mo)
$1,595+
Contingency Reserve
$2,825−
Net Cash Recovered at Refi
$411,038=
Capital Left in Deal
$39,848Equity Position — Day 1 Post-Refi
ARV
$565,000−
DSCR Loan Balance
$423,750=
Equity in Property
$141,250 (25.0%)−
Capital Left in Deal
$39,848=
Value Created
$101,402$141,250 equity on $39,848 deployed = 3.5× equity leverage
Monthly Income & Expenses — Post-DSCR
Gross Rent
$3,314−
Property Taxes
$371−
Insurance
$355−
Maintenance (6% rent)
$199−
Management (6% rent)
$199−
HOA
$71=
OpEx Subtotal
$1,195=
Net Operating Income
$2,119−
DSCR P&I
$2,848/mo=
Net Cash Flow
−$729/moDSCR Ratios — Cash-Out vs No Cash-Out
Cash-Out Refi
75% of ARV — full LTV
Loan Amount$423,750
Monthly P&I$2,848/mo
Net Cash Flow−$729/mo
Cash Still Required−$39,848
DSCR
0.744x✗ Fail
Lender DSCR
0.909x✗ Fail
No Cash-Out
75.0% LTV — capped short $39,848
Loan Amount$423,750
Monthly P&I$2,848/mo
Net Cash Flow−$729/mo
Cash Still Required−$39,848
DSCR
0.744x✗ Fail
Lender DSCR
0.909x✗ Fail
Required Rent by DSCR Target
| Target | Rent Needed | vs Current |
|---|---|---|
| 1.00x | $4,143/mo | +$829 needed |
| 1.10x | $4,466/mo | +$1,152 needed |
| 1.20x | $4,790/mo | +$1,476 needed |
| 1.30x ← | $5,113/mo | +$1,799 needed |
| 1.40x | $5,437/mo | +$2,123 needed |