The one item I am not clear on is the 50% contingency on top of the contractor bids.

Hi Shayan,If it were me I would make an offer contingent on contractor walkthrough right at the asking price.

I would get some contractors out there to start to bid the job..

She'll quickly learn which properties perform best, how to handle tenants and contractors, and much more.  

Yadira Eaton is bi lingual Spanish/English and takes calls for her dad (speaks broken English)901-444-9109...The network of Spanish contractors is very friendly.

1st check your state law regarding wholesaling.2nd- As a real estate broker you are an independent contractor. 

First, you always wind up being in for more than you budget, always, and two if you are cutting the capital requirement needed close then you can go under and default.Truth be told, to get through a deal and afford: Down Payment, Closing Costs, Holding Costs, Deposit for contractor, taxes, insurance. 

I can't seem to find much info online about this and I've had trouble finding contractors willing to take this on

A few quick tips:Run your numbers – Flip for a profit by factoring in renovation costs, holding costs, and market trends in the area.Line up financing early – If you're using a VA loan, it's great for long-term holds, but for a flip, hard money or private lenders might fit better.Build your team – Lean on your local contacts (family, friends, or contractors) to be your boots on the ground.

Instead of worrying about taxes at this early stage, it may be more productive focusing on finding the right deal, the right funding and the right contractors.