You can have these people give you visual reports so you know if the tenants are destructive.Otherwise, if you vet your tenants, you'll tend to get people who are respectful and care about getting their deposit back, so they will take good care of the property.That said, property managers can't make money if they milk their clients dry.

Source:https://comptroller.texas.gov/...Seems pretty cut and dry, but wondering if I'm missing something.Thanks in advance!

One options is to put dry wall directly, which would make first room very small and second room very big.

It sounds good, but what happens when the reservations dry up and they're not making enough money?

Enough for me to think the carpet and flooring would eventually rot.

At any rate for "evidence" she had pulled up (and thrown away) a small piece of carpet claiming once she did that she found "mold" and "dried blood" under it. 

After it dried the stench was worse and the stains ,and rips, and tears are fully visible.

If your contract was indeed contingent upon financing, and you can no longer obtain financing, then this seems pretty cut and dry. 

Once all of the previous owners things were removed from the cabinets, we noticed most of the cabinets around the sink were rotted from an old water leak.

The floor is wavy with dips and a little hollow in places, there is no crawl space which would indicate the house has sunk over time and there is wood rot under all the floors.