And that’s simply because the skilled worker is retiring and not being replaced very well.

I have got quotes from 2 different companies, they are wildly different in price, but I am still considering going with the more expensive one, simply because it seems like they are more professional and I worry that they will do a much better job than the cheap guy.What do you normally do in this situation? 

You do not need to decline any applicant simply find a better qualified applicant and let all others know the unit is no longer available. 

Have a kitchen remodel I'm planning on my personal residence as well as having an egress window cut out for a bedroom addition.

It simply means you aren’t looking in the right places.

I would only use the formula for small, severely distressed, negative current NOI deals with big upside.  65% simply reduces my risk. 

Agree with other posters that if you have lost trust in this contractor, even if cost more, you need to cut your losses and find a new one.As to what to do with the existing contact; depends on a number of different factors having to do with the size of the contractor, how big the contract is and emotionally just how upset you are about things.If this is a small contractor then there are likely few if any assets in his company and it is generally very easy to shutdown one LLC and start another one with a similar name so suing them is just a money pit; its not fair but very common.

That is a deal or steal vs comps in the area you are buying vs simply buying because you want to buy or because the price looks affordable!!

I would simply say pay attention to the market and see where that takes you.

I was about to walk but the sellers ended up cutting me a 2k check at closing for dropping the issue and proceeding with the deal.