I'm considering furnishing every room to make the transition easier for tenants and to avoid potential damage during moves, especially considering the property's multiple stairs.However, since I don't yet have access to the property, there are limitations on what I can do.

That will cause major damage to Landlord's property. 

We recently pulled up some rugs in Berwyn and found termite damage which made it impossible to save the floors.

Here 's some bullet points to consider from our market:1) Unfortunately, most HAs no longer take away tenant vouchers for program abuses, including property damages.

If you let her install them, make sure they are properly installed and can be removed without damage (at her expense) when she leaves. 

We haven't even covered if there is an issue in the other direction whereas, if there is property damage i.e. electrical fire becuase of the way the issue was approached, is the Tenant responsible?

Hopefully the utility will not be difficult collecting for the damages they caused.  

Last year I attempted to turn off the water supply to the dishwasher and crushed the valve with my bare hand, flooded the still new kitchen, damaged the subfloor, $2000 in repairs.

Tell the squatter to get out immediately or you will take them to court for the unpaid rent, utilities, cleaning, damages, court costs, attorney fees, and everything else.

I would say the biggest things to look at would be do you want replacement cost (amount needed to replace/fix at todays cost) or actual cash value (depreciated amount depending on age of roof, or item damaged).