Under property management costs, usually just the standard 10% of monthly rent is often referenced but the lease renewal costs & tenant replacements costs are not mentioned quite as often.

If the roof needs to be replaced, who pays?

We have had systems fail and need replacement as soon as 10-12 years, and others lasting 30 or more years. 

If you found a replacement tenant that he found suitable and moved them in before you entered in any unpaid portion of your lease, I would expect you to receive a full refund of the security deposit.I would check with the state laws and see how much you can sue him for in small claims court.

I'd think you'd need to list both addresses as the replacement property concurrent with the single APN.

This is not just about replacing your current income.

After the current tenants move out, I need to replace the carpet and pad. 

I currently have 2 single family rentals but am looking to delve in to fix and flipping as a way to supplement or hopefully replace my W2 income. 

Yes, it can help people leave their W2 with adequate scale, but it simply replaces one job with another. 

You are required by law to find a replacement tenant as quickly as possible and then refund any unused rent income.