Example: I buy a house that needs repainted to pass - buyer assumes repair - buyer escrows 125-150% of the $5,000 (made-up number) repair cost - DOES THE BUYER NEED TO THEN FUND THE REPAIR OUT OF POCKET while the escrow funds sit untouched? 

Some judges will actually tell you that they believe it is the responsibility of the landlord to repaint and re-carpet a unit between tenants.  

You'll have drywall cracks, so you should factor in drywall repairs and repainting. $$$4.

For example, if a house has old carpet throughout and bright yellow paint in the interior with old brown kitchen cabinets, a flipper will take out the carpet and replace it with nice tile, paint the walls a more appealing color, and repaint or insert new kitchen cabinets.

Replacing most of the vinyl flooring and repainting interior...hoping that improves without taking everything to the studs.

We also plan on putting some makeup where we can such as repainting the outside or repainting some walls.

Cigarette smoke: since you've repainted, try getting an ozone machine in there for a while.

The 5th year you most likely will have to repaint the complete house.

Updated all rooms in the house, repainted the entire house, exposed beautiful natural brick in certain rooms and uncovered a fireplace in the living room.

Complete repaint, removed popcorn ceilings, installing vinyl flooring, deep cleaning.