Seems like you should not have to but showing they broke house rules leading to damage may help. 

One thing I've learned from my experience is that I do not set hard rules.

Yes, the 1% rule is getting harder, but hopefully rent prices will continue to increase as they have been trending.

I’ve edited this version to comply with the rules and removed any references that could be perceived as self-promotion.

But generally speaking with the new landlord rules etc I wont fund occupied houses whether at auction or non Auction I want them vacant before we fund them.

Hard Money Loans are generally speaking institutional money so they make the rules and you either like it and take it, or move on to another lender.

A 1%- and 2%- rule property is hugely better in California compared to Costa Rica because you can leverage in California and you can't in Costa Rica (notwithstanding the fact the risk is higher in Costa Rica too so you'd actually expect a higher return there).

They each offer very different options, and each have different STVR rules as well.  

It depends on a lot of factors; primarily the local jurisdiction rules that may limit lease changes (in Portland/Oregon rent, security deposit, screening fees, an no-cause evictions are heavily regulated).

The rules and payment standards vary significantly from one area to another, so familiarizing yourself with the local housing authority's procedures is key.