He is hopeful with the demand that his flip can get into contract with some of the work not done and let the buyer choose flooring, cabinets , paint ect.

I'm going to be updating and remodeling all the units to a nice and more modern look (New kitchen cabinets, tile floors, granite counters, etc).

My plan is to have all drywall out, furnace, water heater and cabinets all out by the end of the weekend.

I've been happy with it for many years, the only problem is that they changed it some years back so that you actually have to get a site inspection of your office to show that you have a shredder and a secure filing cabinet.

I plan to paint the cabinets put on some new hardware, update the appliances, gut the bathroom, repair the roof which looks like it could need some TLC , refinish the wood floors downstairs, carpet uptairs and paint the whole house.

Also, you can see on the tiles above the big hole, there are many drilled holes from various pedestal sink installed and changed out over the years.My original plan was to just patch the hole with moisture resistant sheetrock, then install a new sink cabinet in front of the hole, and no one will ever see the patch. 

Assuming that every room/ceiling needs a new paint job, I conservatively estimate $350 for paint, also after taxes (which would purchase 8 gallons, though I'm guessing more like 6 would be needed).Also, it seems that new cabinets are needed, as there appears to be a lot of damage.

No, it covers defective materials (very limited since manufacturer will cover their own product) or defective workmanship (i.e. employee installs cabinet with wrong screw, cabinet falls and breaks countertop, CGL covers both cabinet, countertop and new installation).

Both are essentially down to the studs and are in need of flooring, sheetrock, cabinets, lighting, etc.

Have you considered painting the cabinets?