As soon as they folks realize you are going to withhold some or all of their deposit, they are going to go nuts.  

So I got the numbers today—one week after oral bid.

And did you conduct any or all of this in person -- and did that help, if you did?

@Monica Morff 1: tenants are protected in MN by current lease 2: Cash for keys, give them 1 month to be completely moved out and you will give them prorated or all their rent back.  

No oral contracts are allowed for sales of real estate.  

If you don't and the relationship goes sour, he can argue that he has an oral lease and you need to give him 60 days in most places to get him out....meanwhile he's trashing the place.  

Foundation issuesTermitesFloodsInadequate insuranceInsurer fails to cover damagesWater leaks - old pipes breaking leaks and tenant caused leaksFalling treesDrug dealers moving next doorMeth cookersSquattersCopper thievesLooters stealing anything of value (furnace, appliances, etc)Multiple evictions back to backSlip & Fall scammersTenants bring in people not on leaseProperty Manager is inadequate or worse disappears/incapacitatedI've been in REI for 19yrs so not much I haven't seen, experienced or personally bite me in the assets. 

For me I had to be all in or all out in my faith/ repentance commitment.

Do you need help in specific areas or all areas? 

So pulling out equity can have major advantages so long as you retain some or all of it for reserves.