My gamble is, about the time I get this cabin designed and built, the Airbnb market is back on the upswing.

I know nails and screw holes is part of normal wear and tear.

Often the inspections are very picky and they happen every 12 months so although section 8 tenants normally stay longer then market tenants it sometimes feels like a built in vacancy of 1 month every time they do the annual inspection depending on how much your contractor charges. 

I am also an agent and that area is not my normal service area.

Does that sound normal to you?

Should I deduct the cost from their security deposit or is it considered normal wear and tear?

@Chris Grenzig We do own one duplex but our focus is on STR now so we normally only attend STR-focused meetups. 

Meaning, a normal Hard Money Loan will lend 70%-75% of the ARV....which is more than enough to purchase this property AND rehab it with $0 out of pocket. 

The normalizing market is just starting to show some of the operational issues many investors will soon be faced with. 

You can send them a cure or quit if you have to but normally I find a strongly worded email gets it.