Your questions indicate you are very far from even a basic understanding of this topic. 

Is the price for a basic builder grade home at about 108K looks reasonable ?

I'm in the States but in California so basically the same price problem as BC so I buy in other states through turnkey companies. 

It is a simple book that goes over general concepts.

Tell them that if they can help you out with lower basic rates you will reward them with a lot more business.

Most did have a  mix concept of both issue.  

Many have posted a few great tips already, that's the cool thing about this forum ;-) That said, I highly recommend using the awesome tools provided here on BP to learn the basics of analysis and underwriting.A few tips to get started and your continued learning:Find and connect with other BP members that are in your area.Set up keyword alerts to be notified of the topics that interest you.Read Beginner’s Guide.Check out BP Podcasts.Find upcoming real estate events and meetups near you.If you'd like to tag someone in the conversation, type @ followed by their name and then select the name of that person that appears below the comments box.

We basically touched all interior surfaces with some sort of upgrade.

I'm succesfull in buying small multi family properties I can basically average a unit a month.

That $1000 could either be refunded to us or credited on the next tax bill which we chose to do the credit. about a month later the lawyer who completed our transaction sends us an email saying the sellers lawyer knows that we ended up getting a tax credit and that it is owed to the sellers, and that they would take legal action if we didn't refund it. basically my question is how does this usually work out, are they entitled only to a prorated amount of it, are they even entitled to any of it?