Take your lease to a Landlord/Tenant lawyer in California to discuss how an Act of God or some unforeseen, catastrophic event may impact your obligations under your lease.

Everything else is pure profit for me at this point barring an unforeseen repair that would arise out of nowhere. 

It is insurance, which is defined as a financial product that protects against unforeseen future losses that would exceed your ability to absorb.  

Or as some have said, make a lowball offer to reflect potential unforeseen damages.psI did decide to post on this topic even though it may be old. 

It is worth considering, however, the wisdom of the cash flow discussion and particularly the contingencies of short term, unforeseen costs, because without a property or with a property in terrible disrepair, there really is no equity.To all the other commenters, it is a reassuring moment to realize this community isn't just a bunch of flame-throwing trolls who want to one-up each other with comments and braggadocio. 

Even though there were many unforeseen costs we still made out in value.

Would be interested in seeing if this could be an unforeseen deal in the making...

I know that unforeseen costs will come up along the way and things will need to be fixed.

We hit our budget at the end of the project with no unforeseen expenses and now the property is fully rented out and refinance.Final NumbersThe final numbers for this project were as followed purchase price $120,000 and renovation came in right under our $50,000 budget.

I purchased the property using a hard money loan under my llc (purchase price 80k , Rehab 35K) currentl HML $115k, i did have some unforeseen expenses come up and I will have to come out of pocket $20k to cover these expenses overall i'll be all into the property at $135k.