The homes prices are way above reality as well as the taxes and most HOA's.

Hi Christopher,These calculations are pretty standard on 1-4 Unit properties..Income/(Mortgage+Taxes+Insurance+HOA) = DSCR RatioHowever on commercial properties some lender may take into account vacancy, upkeep and other costs.

Additionally, if working with condos or townhomes, some utilities are included through the HOA fees.

New Smyrna Beach and the HOA doesnt allow rentals less than 1 month. 

Last July I purchased a home from HOA foreclosure auction.

There is an HOA for the association for a total of 10 units.

What you are saying doesn't quite make sense to me, if the HOA foreclosed the banks lien would be gone.

. $4166 Principle + ~$1k property tax + HOA + insurance + large cap ex costs.  

It might be easier to treat it as a full scenario with Purchase price, Down payment, Term, Prorgam, occupany, number of units/rents per door, Taxes/Insurance (Any flood, HOA) etc. 

I'll make a long story as short as possible:> House built in 2008, first owners used husbands VA loan to secure (220k loan), stopped paying HOA and bank shortly thereafter (current payoff 500k+).