The difference in the increased rent would be paid by HUD (the feds).I like long-term stable tenants and I have no issues raising the rent when warranted (I'm not embarassed to say I'm ultimately in this business to make money).  

Some areas to consider as far as condos are concerned you will likely be dealing with non warrantable condos being that they are not fha Fannie Freddie approved perhaps because of more renters living on the condos.

Do enough due diligence to make an intelligent decision/offer and then, if it warrants continuing forward, spend the money.  

However, based on what you've told us, the house probably is not in the condition necessary to warrant market rent.  

Hey @Samantha Klein, haven't had this become a large enough issue to warrant the cost as a part of turnover.

Depending on where your property is located and the current shape of the property (last time property was refreshed with paint, updated appliances, cosmetic fixes, etc.) a $700 dollar a month rent may not be warranted. 

H has done nothing to warrant a free  other than be a normal tenant.

Originally posted by @Kurt Gardner:@Nick StoddardKeep it as simple as possible.OP specified he isn't renting C-D class properties, A & B properties garner their higher rents because of amenities, keeping it simple means you're posting on here all the time wondering why you can't rent it, these properties attract better quality tenants who take care of the properties better also you can and must put in some features to warrant the higher rents.Nick keep the ^^^^ in mind, you dumb down your rentals due to listening to people giving advice from perspectives of properties different than yours and you'll end up shooting yourself in the foot when you have trouble renting it due to your competitors properties offering more the money.Many landlords are cash flow investors, not equity investors, their properties are lower quality, lower quality tenants, lower expectations, lower rents, they step over dollar bills to pick up pennies, having a penny pinching mentality, don't fall into that trap.

The question to usually ask though is if the added upgrade will return the rent to warrant it.  

I've lived here 25 years and never experienced an earthquake myself that caused any kind of damage that would warrant the extra coverage.