I'd almost actually like to take a risk and purchase the property, ask that the current tenant moves upstairs (semi-remodeled, but nothing special) and tear out the downstairs and rehab it myself.

Typically, all or a portion of the deposit can be used for actual damages (nonpayment of rent or fees, or physical damage above normal wear and tear)Require Written Description/Itemized List of Damages and Charges:Interest or earnings on the deposit and any deductions shall be itemized and tenant notified by personal delivery, registered or certified mail. (§§ 46:8-21.1 (pdf))Record Keeping of Deposit Withholdings: No statuteReceipt of Deposit: Within 30 days of receipt of the deposit, landlord shall notify tenant of the name and address of the financial institution in which the funds are deposited, the current interest rate, and the amount of the deposit.

Landlord may deduct reasonable charges from the security deposit for: Damages to the Property, excluding normal wear and tear, and all reasonable costs associated to repair the Property; Costs for which Tenant is responsible to clean, deodorize, exterminate, and maintain the Property; Unpaid rent; unpaid late charges; Unpaid utilities and utility expenses Landlord incurs to maintain utilities to the Property as required by this Lease; Unpaid pet charges; Replacing unreturned keys, garage door openers, security devices, or other components; The removal of unauthorized locks or fixtures installed by Tenant; Landlord’s cost to access the Property if made inaccessible by Tenant; Missing or burned-out light bulbs and fluorescent tubes (at the same location and of the same type and quality that are in the Property on the Commencement Date); Packing, removing, and storing abandoned property; removing abandoned or illegally parked vehicles; Costs of reletting , if Tenant is in default; Attorney’s fees, costs of court, costs of service, and other reasonable costs incurred in any legal proceeding against Tenant; Mailing costs associated with sending notices to Tenant for any violations of this lease;Texas Residential Lease Agreement Any other unpaid charges or fees or other items for which Tenant is responsible under this lease; Cost to restore walls, flooring, landscaping or any alteration to the Property not approved in writing by Landlord; Damages to the Property caused by smoking, including but not limited to stains, burns, odors, and removal of debris; and costs to rekey certain security devices, as provided in Paragraph 19.2.

Did you have to tear up any walls?

The house has 100 amp electric run off its own pole, its own septic, and powers the well pump and pressure tank.What I would like to do is tear down the house and replace it with two smaller cabins (there are two separate concrete foundations that I want to utilize), each with their own electric, but the same septic system.

New Dev projects bring upscale apts --> New demographic --> Increased tax revenue and local spending + Rents go up and stabilize --> shift in local commercial ops --> increase reno's, tear downs and higher end apts to cater to new clientele --> and cycle repeats...

It will add far too much wear and tear and likely cause issues with neighbours.

Bad health, reduced hours at work, the loss of job, financial emergency or other circumstances will not excuse any late rent payments.d.EVICTION NOTICE: Should the Tenant fail to pay rent by the due date, Landlord may serve an eviction notice, as required by applicable laws.Tenants agree that they are renting the premises together and yet each will be responsible for the full amount of rent regardless of whether any other Tenant within the household should fail to contribute their fair share.SECURITY DEPOSIT: Contemporaneously with the execution of this Lease, Tenant shall deposit with Landlord a security deposit in the amount of $__          ___ as security for the return of the Premises at the expiration of the term of this Lease in as good condition as when Tenant took possession of the Premises, normal wear and tear excepted, as well as the faithful, timely and complete performance of all other terms, conditions and covenants of the Lease.

You can't even find single family 2/1 in a bad neighborhood for under 150k these days and if you do @Devan Mcclish will tear it down and build 4 in it's spot!

Most land only plots in my area go for between $12,000 - 18,000 at minimum, but I'd have to tear down the house and basically start from scratch.