They may try and put them up themselves or drapes and do far more then 500-700 of damage to your walls. 

Also, what exactly is major termite damage?

A majority of my investors will have there renters bring in their appliances in general so they aren't held liable for any damages or repairs that they need to fix.3. 100%- this is a big must in every landlords book4. since I'm assuming this is a single family, in most cases, this falls on the tenants.5. the tenants 6. 

You are getting good advice on why your idea is a poor one, but certainly go ahead.And the Courts have not 'largely agreed' See the recent rulings by 3 separate Federal Judges (from KY, LA, MS) blocking Biden's mandates.But go for it.

Instead be more thorough when you first walk the property, possibly bring your contractor and make a lower first offer X, because we found (undisclosed) damage Y.   

If the deposit is non-refundable and there is no damage, why do you think one person (the home owner or the PM) should keep all of it? 

@Crystalinda GonzalesDepends on your Purchase and Sale Agreement but typically this would be a breach in contract by the Seller and you could sue for damages and costs incurred.

When renting open units, I would expect them to be aware of issues with the property prior to a new tenant coming in so if they leave we will be aware of any damage they caused.  

After that Minnesota landlords can sell the possessions, but must notify the former tenant 14 days prior to the sale and return anything that goes above covering landlord damages must be returned to the former tenant if they ask.

Purchase price: $189,000 Cash invested: $100,000 Sale price: $400,000 Fire damaged home, completely rebuilt the back of the building then sold privately.