Also, they haven't moved out yet, so they could do damage to the house.In their defense, they did pre-screen some tenants and find me a replacement.  

I lucked out no further damage. 

This has all but ended CFD in Texas, as failure to comply has led to massive punitive damage awards in court.  

The house I looked at had the kitchen and bathrooms completely gutted, water damage and was a general wreck.

Cheapest way to do it for damage control is to go to the county courthouse to file the eviction paperwork (Dispossessory filing).

Some damage was done.

We are pretty specific about the physical damage insurance we require of people we are making loans to purchase HUD Codes.

There is a program out there that is 100 bucks per month called exactimate that is used in insurance restoration.

FYI--In order to get any liability insurance, I must ensure one condo for property damage ($350/yr) and then I can add liability on dwellings rented to others for about $25/yr for each unit.

After removing ~5 tonnes of lath & plaster; replacing some structure damaged in a chimney fire in the building's past {estimated to have occurred prior to the 1930s before electricity was installed}; reconfiguring the space layout in half od the house {(re)moving 5 walls}; fixing additional structural and electrical faux pas by the prior owners and levelling the floors, we added ~3 inches of spray foam insulation (R18) into the wall cavities; rewired the house; and replaced all the original single pane, built in-place windows with Energy Star rated, triple-pane, windows {with glazings specific to their orientation}.We put the electric base-board heaters back in-place; by code we need to retain them as an auxiliary heat source to the ductless mini-split heat pump (2 heads) being installed next week.We are now finishing painting and trim.