That's not how proof works.Am I legally in the right to cancel the contract for breach of contract in a day as soon as I get this last lease-up fee if he doesn't pay the deposit?

At the moment, damages were relatively light to the property, and I do have a security deposit that I can use For those and to also apply what’s left over for missing rents.

Should I deduct the cost from their security deposit or is it considered normal wear and tear?

So secure a great tenant, understand the characteristics of the community and build an outstanding working relationship!  

Consider all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.5.

This is very important on the back end if you have to impose claims against the security deposit (at least in Florida).4) Read your management agreement thoroughly and know the cancelation policy. 

Say I went with that one though and secured it all cash.

You said they are "from California" but now you are saying they don't have a social security number?

Also collect at least 1 months rent for the security deposit. 

The Father applicant responded by offering 6 months of rent upfront (even the entire year) and is willing to provide 3 months rent of refundable security deposit for the additional dog risk.