I would like to learn about three types of scenarios that would seem to be of great benefit to a LL/PM if a tenant held renters insurance;Situation A (property damage): Tenant causes damage to LL property in excess of security deposit.

They want to see strong debt service coverage and adequate (but not excessive) expense numbers. 

They may also blow off the temperature relief valve due to internal faults or excess system pressure, from a closed loop, failed prv, etc.2.

Sure rents look great now, but you couldn't pay me enough to invest there because I know a market correction is coming and I know there will be an enormous amount of excess inventory soon.

California charges a minimum tax of $800 a year per LLC, and more if you have gross receipts in excess of $250k.

You may wish to confirm that the new 401k provider will handle the ongoing compliance support such as any required 5500 filing (e.g. 5500-ez for a one-participant plan with assets in excess of $250,000), any required tax reporting (e.g. 1099-r in the event of a distribution or in-plan Roth conversion), mandatory plan updates and amendments, etc.4.

But I'd say if you personally are going to live in the home, I'd definitely lean toward doing it.If you see no indication of moisture issues or anything else that makes you think mold is an issue, then I'd say this is optional.

Im not in California but here in Michigan all evictions have been shut down unless there is excessive damage or an immediate health hazard.

Still seems excessive for a 2 bed house.

To give up potentially $1200 a year in cash flow just because a tenant adheres to their lease seems excessive and will eat quite a bit into your cash flow especially for a single family.