During the inspection, I found water damage (not bad) on the wall around the window AC.

Hence, I want to do the repair myself to minimize any damage cost.

.), length of the desired lease, zoning, all of these can influence price. 

Tell them they get the cash only when they are out of the house with no major damage, and then meet them, inspect the house, and pay them.

If there were enough pests to merit a treatment and re-treat, was there really 0 damage?

If any such damage is a result of the act or omission of Tenant, Tenant shall be responsible for all costs to repair such damage.

All these factors would influence my thinking/decisions in this regard.In my case, I'm an engineer who worked the corporate 9-5 for a while and I got good experience that translated into a transition into RE. 

In my experience, I have not had pet damage that goes beyond the initial security deposit (although I know others that have) so I prefer the extra income. 

If we had made the same mistakes on a larger property, it could have been financial damaging and lost money.

Unless you have the exact right person, you are taking too much risk and the damage can be too huge..... just pay them and carry on as usual....