Then subtract the cost of materials, cost of labor, holding and closing costs, the flipper's profit and of course your wholesale fee (about 7%).

Many older areas of the country still use lead pipes so it is hard to prove who did what wrong, if you only recently purchased a 100 year old home and did not know what material the water line was.  

Here's an example of one way I do deals with those who want to make sweat equity: I will buy the place and provide all materials for repairs and remodeling and pay all carrying costs.

If your study material has practise questions, do them as much as you can on the basis of concepts.

Do not conceal or misrepresent material facts or the state of your finances to vendors, creditors, or other outsiders.Fund your LLC adequately.

Building technologies and materials will be evolving as time goes on. 

I have the house, driveway, walkways, fences, decks and roof power washed to bring the materials to a common color - while my competition has gray fences - I bring mine back to a beautiful wood finish, my drives are one consistent color, etc.  

Get a DETAILED SOW (Scope of Work), broken down line item by line item with separate cost for materials and labor if possible.

Tile: Materials cost (tile, grout, backer board, sealers) + 7 per square foot for demo, board, tile, grout and seal.  

Materials were sourced from Lowes, HD, Buy&Build, & Sloans Carpet.There were 2 other opportunities that popped up while I was working in the building, however they wanted more than I was willing to pay.