I have an Overuse of Utilities clause in my lease agreement specifically for this unforeseen situation.

you will probably have unforeseen expenses that eat into your cash-flow at times.. you ready for this life or what? 

They just emailed me to say, due to "unforeseen circumstances" they will be unable to rent it. 

The renovation costs may include a contingency reserve and renovation-related costs.Contingency Reserves:Contingency reserves 10 % required for any unforeseen cost overruns that may occur during construction.Unused contingency reserves that were financed into the loan will be applied to the principal balance of the loan.

Let them go along the lines we all mention above and keep at the fixes.Flip the script and imagine the tenant wasn't paying rent after being fired from a job or medical bills or some other unforeseen reason...they do everything they can, including filing for assistance, taking on part-time work, and so on, but they still can't manage on-time payments.

If the property being transferred is mortgaged, assuming your lenders will allow it, you will also need to periodically readjust the basis of ownership by the LLC itself and of the participants' individual ownership shares as the loan is paid off.Tax Consequences for LLC ParticipantsTransferring property to an LLC can have unforeseen consequences.

I usually only keep enough in this account to handle day to day operations and general maintenance issues.For large unforeseen expenses that is what my stock portfolio is for. 

We recommend that you plan at least a 3 hour window for closing in case there are any unforeseen delays.

Their fees and interest will gobble profit quickly, especially if you run into unforeseen problems on a flip.I live in the Denver market, and it's crazy here.

@David Dachtera I can appreciate that forecasting future real estate market projections can not be predefined as there are multiple unforeseen variables that can influence the market.