The part I don't understand is why we are still held to that contract if the guy presented us a counter after inspections.

Maybe a walk in shower with the window sealed up outside and inside and some nice sheet vinyl on the floor.Add a hand held shower head on a metal hose for hygienic purposes and to make cleaning the shower easier--many of them cost little, and an ADA bar or two to help prevent falls.

I think the problem is solved, via using a sheet metal diverter to direct the water.

In the basement, there was an old rusted metal sink cabinet, with stacks of old cast iron pots and pans in/under/around it.

An LLC can be pierced and you held liable personally if it is deemed not a real business.

I don't suggest you hold your personal residence in a business entity, usually, a trsut is better suited IMO.Now, I am not an attorney and that would be a good question for your attorney in your area, where the LLC is registered and the property is located.I do see your issue of what we call "commingling of funds" and holding a personal interest in property held by the LLC, an insurable interest besides that as a member.

I would like to test the widely-held idea that 90% of all newbie wholesalers fail/quit.

This is because there is a year (in the code) where a taxpayer has the right to challenge the sale if it was improperly held.  

Seller A: Asking price again is $240,000.00MLSAddress                          Most Likely      Best Case         Worst Case                  ARV $399,000,00   $465,000.00        $360,000.0070% ARV          $ 279,300.00   $325,500.00       $ 252,000.00Renovations      $ 120,000.00    $ 95,000.00       $150,000.0070% ARV - Renovations $ 159,300.00 $ 230,500.00 $ 102,000.00                            Most Likely     Best Case    Worst CasePurchase Price $ 169,000.00 $ 125,000.00 $ 190,000.00Renovations           $120,000.00 $95,000.00 $150,000.00Closing Costs          $ 1,400.00  $ 1,200.00    $ 1,500.00Total Cash to Close $ 290,400.00 $ 221,200.00 $ 341,500.00% of CtC Borrowed 0% 0% 0%Cash brought to closing $ 290,400.00 $ 221,200.00 $ 341,500.00Loan Points 0 0 0Points Cost $ - $ - $ -Loan APR 5.50% 5.50% 5.50%# Months Held 9 6 12Loan Cost (Int Only, Paid) $ - $ - $ -Utility Cost/month $ 200.00 $ 175.00 $ 250.00Utility Cost $ 1,800.00 $ 1,050.00 $ 3,000.00Holding Costs $ 1,800.00 $ 1,050.00 $ 3,000.00Total Expenses $ 292,200.00 $ 222,250.00 $ 344,500.00Most Likely Starting Price Lowest Price  Based on Comps and Estimated Sales PriceUnit 1 Sale Price $ 399,000.00 $ 465,000.00 $ 360,000.00Unit 2 Sale Price $ - $ - $ -Unit 3 Sale Price $ - $ - $ -Unit 4 Sale Price $ - $ - $ -Unit 5 Sale Price $ - $ - $ -Unit 6 Sale Price $ - $ - $ -Real Estate Commission $ (23,940.00) $ ( 27,900.00) $ ( 21,600.00)Net Sales Revenue $ 375,060.00 $ 437,100.00 $ 338,400.00                         Best Case            Most Likely                 WorstHigh Price         $ 214,850.00       $144,900.00         $ 92,600.00ROI 97% 50% 27%Most Likely       $ 152,810.00       $ 82,860.00        $30,560.00ROI 69% 28% 9%Low Price           $ 116,150.00      $ 46,200.00       $ ( 6,100.00)ROI 52% 16% -2%Comparable Listings (MLS)

I would request 200% of the estimated cost to be held back from the seller's funds in escrow OR for that amount as a seller credit in the event you do the work yourself.