I’d agree w the others, take this as a lesson learned and see what you can do about your tenant paying that deductible and talk to your insurance about the amount you can expect to see your Bill go up, if it eats your cash flow and your plan is to sell next year anyway this may be a chance to get this kitchen “remodeled” and hit the market

I like the lower security deposit strategy I just don’t want it to eat away at cash flow when tenant leaves.

Unless you believe they are going to eat those extra costs.

An air conditioner will eat 3 months of your rent.

Since then, my wheels have been spinning nonstop and I cant help but to breath, eat, and sleep real estate.

., not RF) who is paid 100% on commission and eats only what he kills?

If you feel the carry cost will eat too far into your profit then don't take the deal. 

I suspect that they were honestly upset about this and it finally came out or they were using it to persuade me to eat the repair costs, or a little of both.

"How do you eat an elephant?

There's some ceiling water damage that will eat up most of their deposit as I only collected half months rent.