And to my first point, a good tenant will not only pay on time each month, but the good ones don't destroy the place either.  

Same thing happened where I am in areas where there were fires that destroyed towns or in areas where hail storms are more frequent.As for blame, there is no point blaming anyone, just learn from what happened and try to prevent it again (not fires because they will happen, but things like running out of water) or reduce the damage if it does happen again at that scale. 

Your renters will destroy these items and want you to replace them. 

I'll loose a lot less money and sleep keeping the property empty for another month than renting to tenants that destroy the property.And your statement regarding must rent to the 1st qualified applicant. 

I do have folks that don't book because of that.That is a good thing as not understanding the distance to get places will create bad blood and cause those 2 and 3 star reviews which no one wants to see.Like @John Underwood, our place isn't cheap so we don't get the folks that destroy places.The bottom line is that you are renting out an expensive asset to strangers for 3-10 days or whatever.

To paraphrase Warren Buffet “it takes a lifetime to build your reputation and only a moment to destroy it”

My tenant texted to let me know there was a domestic disturbance and her boyfriend destroyed the house.  

It will destroy them.

This also allows for property owners to more easily write-off assets that get damaged/destroyed as the value of these assets is determined as part of the study.

You fail to pay off the loan in 30 days and they start a foreclosure proceeding which destroys the previous owner's credit10.