Very unusual to not have a contract at all. 

A bit of an unusual situation.

If that permit is on a separate lease that is paid after all late fees and rent, then it doesn't sound that unusual to me. 

I'm not offering any advice in any direction but after reading your post I did some online research and filing for bankruptcy after serious identity theft is not unusual. 

I'll be honest, 9 times out of 10 normal wear and tear would dent or bend the blinds throughout the year lease.

It's my understanding that even here in Hampton Roads, VA, it's not unusual to charge a potential tenant more if they want a month to month lease instead of a one year lease.

We also do houses in South Bend, Niles Mi and surrounding. 

Not doing so would be unwise, especially in an unusual situation like this where he has already been accepted and the reason for denial is difficult to quantify. 

It is not unusual for especially an old guy who has had the place forever to basically do nothing to fix things, barely screen tenants, leave units unfilled, don't keep recognizable records and just collect whatever rent they can.

I am planning a road trip to preview rental markets in the following areas:Montgomery AlabamaBirmingham, AlabamaDayton, OhioColumbus, OhioAkron, OhioCleveland, OhioToledo, OhioSouth Bend, IndianaI would greatly appreciate any suggestions and input from seasoned investors in these areas!