After posting the last post, I realized how cut and dry I'm making the numbers sound. 

Step one is get it dried out.

The best you can do is for past due months, late fees (approx 15% in this county regardless if the lease specifies more in this county) , other administrative and legal fees not only spelled out in the lease, but determined as "reasonable" by the judge.Contract Performance proceedings will yield different judgments about reimbursement for future values, but leases, in this county, are rather cut and dry as far as what to expect.

Plus it will save you a fortune in labor.Buy extra tile and hardwood flooring and store it someplace dry.

This is the stuff that comes in bags of dry powder.

In my limited experience with section 8 here in Louisville - I suspect your options may not be as cut and dry as they seem in your post.

Talked to a guy recently that invests OOS using the BRRRR method that chooses to use HM instead of using his own capital for those reasons and so he has dry powder (ie flexibility) just in case.

Also, the work is to include moving the fridge (a Viking), drying out the floor, then replacing it.

We have a SFR residence and a SFR rental just down the street that I self-manage.My wife is from Ecuador and hates the dry climate in Colorado also the cold winters. 

My tenants let me know that their dryer is taking 2 to 3 cycles to dry a load of clothes.