Trim, at least, needs to be semi-gloss or it won't hold up to cleaning and high-touch.

The floor needs a cleaning -- but next - should I sand the floors and then put a varnish on them?

If we put a tenant in the house we will have to pay the state back their $8,000 of assistance.Loan Balance: $150KCapital Required to Rent: $10K ($8K to pay out the state and $2K that I put into professional cleaning and new carpets.) 

Find a deal, close, clean it up and get it ready to flip, and market it to investors. 

Have you tried any Power Dialers yet ?

Tenant stipulates, represents, and warrants that Tenant has visually examined the Premises, and that it is, at the time of this Lease, in good order, repair, and in a safe, clean, and habitable condition.

When you google the terms I mentioned, count how many times the websites say "powered by carrot" at the bottom. 

To even counter with an offer of $2 is too much for the amount of filth I would need to clean out.

Note too that in Wake County, unlike decades past, there is no meaningful "foreclosure discount" (defined as the fact that winning courthouse bid prices were generally (historically) much lower due to the forced sale feature of NC statutes and Deed of Trust Power of Sale clauses) and this is confirmed by a recent Fannie Mae study. 

They probably won't pay it, but maybe they will at least clean up after themselves.