I also require before I allow that to happen is that the person staying show proof of being able to afford in there own.

Yes regarding the vanity, but most handymen aren't licensed & insured and my building needs proof of insurance before anyone can touch my kitchen. 

I believe he also has an umbrella policy too, so he is about as bullet proof as you can get.Financing and paperwork is simpler the way I am doing it. 

I told them I wanted some references and proof that they are working on the loan.

When I finally bit the bullet I had a company come out and give me a quote.

Thank you to everyone who chimed in, this has been SUPER helpful.I've been able to negotiate returning half of the deposit with the tenant so I am going to bite the bullet and pay that out of my own pocket.Going forward, I'll remember this as a lesson to make sure this is covered (I'll definitely be buying more properties in the future).Thanks again!

Or, if you have proof of any communication from the landlord indicating the same, then you might have some recourse.

The internet is forever, and you never know when something you have innocently posted will come back to haunt you.Now I have proof. 

The fact of you mailing Certified Mail with the RECEIPT is sufficient LEGAL Proof of delivery to the Tenant, and will standup in any JP District in Texas. 

If a risky applicant is not willing to sign a M2M lease be thankful that you dodged a bullet.