We live in a town home community(13 town homes, 6 are rentals) The HOA group is interested in turning it into a 55+ community.

It had an active HOA, and was only $200 a month, and rent would be $1200. 

Is HOA a huge factor from how well it cash flows?

When an HOA covers the exterior (driveway, lawn, shingles/roof, siding...) and I would be responsible for windows and interior... how would you calculate CapEx/what percent would you use?

Palm desert now restricts STR in most residential R1-R3 zones but there are a few that fall in not zoned R that are not hoa but can be challenging to find.

Now I'm find a property whose potential ROI seems unbelievably high (property tax and HOA fee seems suspiciously low) and I wonder if I miss any factor to consider.

Sometimes a family or renters loves the neighborhood very much due to safety etc... however that sometimes comes with an extra cost called HOA fees that their landlord can absorb if their landlord bought the property and has 100% equity.

We bought within our means which was great because our mortgage and HOA is super low.

Worst advice ever: Don't buy condos because they don't appreciate and the HOA dues will cut into your profit.

@Ruben CorreaI calculated it $68k gross income.minus the following electric, mortgage,ins,tax,cdd,HOA,mgmt fee (15%) reserve and cap ex.