@Minh Le If you are past the closing date specified in the contract, and you don't have an extension, the contract is no longer enforceable.

It might still be a-ok if the numbers work but no way would I buy as is without a thorough inspection or a clear clause that gives me a out if the damage is too extensive.

Use the "search" feature on BP.Depending on how extensive the odor is, you may need a multilayered approach.When we rehabbed a house that previous owners lived in and smoked in for decades, we found that we had to go much deeper than walls and paint. 

They did extensive upgrades post-purchase, so a lot of the elements have been updated. 

If not, just tear them down and replace later.Short sale lenders are used to closing delays....you could ask for an extension, you need 60 days minimum, to switch to a 203k....write a letter of explanation.

I wouldn't touch it without a really experienced PM, someone who has extensive experience in RC properties within LA.

Since they've been there 5 years at least, it's borderline if I could deduct from their deposit for the extensive carpet damage right?

Before you get to that point, you should ask the seller for an extension.

FWIW that made me look into CC warranty extensions.

@Christopher Smith I'm not sure, I filed a tax extension so have not filed yet while using QBI yet.