I'm assuming the house is furnished being a model home and that the builder is "renting" it for purposes of showing the house to prospective buyers in that development.If the above is correct it's possible the buyers could insure the house as a vacant property.I think an attorney should write up something for both parties to sign showing the builder assumes liability while showing the home.

I wanted to know what the correct process is to move forward with this prospective tenant.

I have (2) prospective tenants for a property of mine.

I have found prospective tenants and doing my screening process (thanks to the advice I have received from the forms).

I'm most interested in Woodlawn, LA Heights, Five Points, Prospect hill, etc.  

I know this isn’t exactly what you’re asking about, but I had a prospect in Philly who said their employer, Home Depot, would cover the security deposit.

Having lots of prospects puts you in a very different position. 

Nothing irritates me more than setting up an appointment, driving over to the rental property to meet a prospective tenant and no one shows up.

No, you need education, smart, targeted, and up-to-date for the 21st century.You'll learn step-by-step seduction techniques like the Subject To kiss close, the unrefusable checkbook flash, how to buy her a house for ca$h, templates for writing red-hot yellow letters, and compelling scripts to follow on the phone when speaking to motivated prospects.

In my licensing course, the instructor told of a situation where the consideration was a pickup truck.And further research on my part says Tom is right - that the promise to do something that the party is not otherwise required to do can be the consideration.The EMD here is really not enough to deter anybody from defaulting anyway.