So I spent $3.5k on painting my rental unit before a tenant moved in.

We used undercoat and paint on all the walls and ceilings. 

I have water stains on the new newly painted bathroom ceiling and the paint on the newly painted living room ceiling (where the furnace was) is cracking.

Seller painted walls grey, doors and trim white. 

If you give them a property with torn up carpet and paint peeling with holes in the doors, it'll get a lot worse. 

If she does move on, take the opportunity to spruce up the unit with paint, floors, and repairs (if she's been there 7 years, it likely needs it), and rent it for more than the market rate since it will be an improved unit.

Registration process is tougher as you MUST have a recored warranty deed (they used to allow stamped PTA).Also, last week they announced changes to their Lead-Based Paint Inspection requirements.

You'll want the rent flexibility and long term leases aren't usually as marketable when selling.If you like to save some money and do some of your own work, you can have a painting crew make your house "roll ready". 

And if it's one of the $5 blinds we use from Lowe's, and you couldn't be bothered changing it between tenants, there's not much left to say about that.Cosmetic complaints: I don't like this paint color; I want a fridge with an ice maker; I don't like this color flooring; I want a touchless sink faucet.

Let them know how much you value them as a client... maybe offer a free ceiling fan or paint a wall or free landscaping one time visit.. if they renew.