Lots of work ahead of us but we are super excited.

Nico,Do you know the "as is" value, and after repair value?

She probably won't pay, but you can use the deposit to cover those eight days and then the remainder of the deposit can cover cleaning and repairs.

Ok maybe.You will still have to pay to demo the damaged property and that can run from $15k to $40k or more depending on where you live so you may not have much left of your initial investment to buy that next property.And if you financed it - the bank is going to take the majority of the insurance settlement to settle the loan and you will own free and clear a fire damaged house that the city will eventually start making demands for you to repair or demolish.This is why the majority of lenders require you to carry full replacement cost coverage.

Find an inexpensive flip that just needs some cosmetics (hopefully you know how to do most of the repairs yourself because that will save you money).

Light rehab,, demo , paint,  May need some water damage repair in bathroom. 

That should be very helpful in providing you a head start Best of luck!

Most of the repairs are cosmetic, but in my opinion the home is in need of a full gut job.

By doing this, you will hopefully have increased the value of the property in excess of your purchase price plus the repairs you put into it. 

I wanted to do minor cosmetic repairs such as changing carpets, painting, and new cabinets (new cabinets were needed), and new appliances because they were needed as well.