For Section 8, if they damage your property they will LOSE their Section 8 money.  

Ultimately tenants who pay on time will do so regardless of the discount, so you are probably just throwing money out the door by giving money to people who would just pay on time anyways.I do recommend a discount for electronic payment.

If the tenant fails to complete the job, or does it poorly, you'll have to hire someone to finish/fix it and you'll be out the rent money. 

I'm making too much money in RE, you could not afford me.

.- I gave them a reasonable offer to replace the carpet with small consideration for them and I also offered them to move out and not pay the lease breakage fee, both of these they rejected- They then called the city inspector.  

@David C.About once a year, I post about finding some absurd amount of money inside the wall of a foreclosed house or behind a water heater in a dark basement.

The old saying goes, buying is where you make all the money, so if you are buying..

Would you: A) Sell the lots now at a discount, take a loss but at least get some money back out to try and redeploy elsewhere. 

Hopefully, if a "friend" asked to borrow money from you, you'd check if he had the disposable income to pay you back.As for your accountant, that's up to you. 

Keep the money for the days it was vacant (ie if you rent it Aug 1, then you keep 1 month's rent) and any damage that you had to repair.