As far as tax purposes, it’d be a normal rental, everything expense wise for it is deductible

Let's say, on average, a new home of the same type is selling for $45,000 multiply it by 10%, means I should deduct $4,500 to get to my final ARV.Any thoughts?

How much of what you wasted is tax deductible?? 

Dwelling limit is the total amount they will cover for the property in a single loss (or depending on the wording of your policy within a certain term no matter how many losses you have)FYI a "loss" is a claim.All perils deductible means you have coverage for anything that happens to your property UNLESS it is specifically excluded in your policy. 

Cash flowing at 950 gross net would be around 300 after all deductions currently valued at 70000 and no repairs , is it good to keep this or make one time profit and sell it off and look for other properties

This should make your purchase price 40K, which should be lower in my opinion if you deduct the holding cost, closing cost, and HML fees, etc.3) This is where I need insight, so thanks for your elaboration.

They were responsible for replacing the damaged appliances, paying the pet fee, and my $500 insurance deductible, as well as rent.

Both have a $1500 deductible.

But since then the auditor determine only half of the items needed to be fixed and were now my deductible.

The other thing I like to do, is in off years i.e. low income years I encourage clients to pay taxes by moving income into the current year or funding a Roth IRA of some type in order to use deductions in higher income tax years.