We routinely have an occupancy between 96% & above 98% which is vastly better than the average occupancy in any of our cities.   

I am supposed to make myself uncomfortable by reducing it to 75?

its just part of my routine..

I would feel uncomfortable renting to someone closely related to the previous owner that has no recent history of paying rent.

Buyers routinely show cash for $1M when buying $100k properties.The higher the amount you qualify for, the Stronger of a buyer you are.

The simplest way that I've personally noted to routinely make money in Austin is to maximize the square footage on your lot and an ADU should help you with this.

We don’t know who is responsible to pay at this point, and the answer to that question is sitting under my property........I suppose I could refuse them access and push them to do that, but I want to be a good Nieghbor myself, and that makes me uncomfortable honestly.

Our plan in to stock the warehouse with items that we use routinely, from appliances, plumbing fixtures, paint, toilets, toilet flappers, etc. 

It's done routinely here. 

The former covers the more routine added "wear and tear" from the dog, whereas the deposit covers excessive damage.