I would be much more willing to lower my price by 100 or more if I were desperate to open up the tenant pool than risk loosing money in the long run letting a suspect tenant with horrible credit and an eviction on their record.  

Of course, it is your choice, but that seems excessive.

I have seen homes where they almost destroyed HVAC ductwork by blowing loose insulation in the cold air return ducts. 

Numerous debris left underneath home, including wood waste (termites), and loose insulation that was not installed properly.

Once the moratorium ended the courts were not excessively inundated with cases. 

Also - keep in mind if it was your tenant that did all this damage - you can go after them for excess damages.  

What you are suggesting sounds too loose to protect you and make sure you get some value. 

Get an umbrella insurance with $1M coverage instead, its very cheap and hard to imagine you get sured for over $1M - and loose! 

There is also a hidden red flag that  a lot of lenders/banks do not shre is that underwriters will question and possibly red flag a file with excessive credit pulls from multpiple lenders. 

Because you have the leverage, the $100/month reduction in rent for loosing driveway/yard and dealing with the construction is a joke.