So I am starting my first tenant screening and I have an applicant with an eviction due to job loss, they are currently working again.

I paid cash and own the property outright and can't afford the loss right now. 

have you ever calculated your actual returns though when you factor in all these loss's? 

This way the insurance company knows that there's a mortgage on the property that must be satisfied first in the event of a total loss, or partial in this case.So in this scenario there's really no way for me to get a payout, not fix the house, and simply walk away with the money.

I definitely would like to get into the park, but I don't want in it for a loss.

Current tenant just wants to cut his losses and get out.

We planned on 10% losses in that business, and this is with surprisingly tight underwriting for the sky high interest we charged.

He's absolutely correct, you are required to give the insurance timely information concerning any potential loss.

And more, since your loss on a real estate purchase isn't limited to your initial investment.OTOH, there are areas people are moving into and that are seeing a resurgence.

They will be incurring a financial loss due to the foreclosure.