The fact that they charged you to come back and fix something that wasn't broken before they did their work and then one is still not working is poor service and workmanship in my opinion. 

If I go over budget, either something came up that was not expected, or I underestimated the cost required, but either way, the work needs to be done.Really enjoyed the podcast.

I did go to the REIA meeting except for the major one (had other plans already set up) but I did go to the mystery meeting and the one held at Home Depot and they were decent just not exactly what I expected. 

You as a flipper put out a good product and you’ll still get top dollar.As Jay has stated the new strategy seems to be shifting from list price is set below market to generate foot traffic for multiple bids and revert back to pricing it to market or slightly above for concessions as it’s slowly shifting to buyers market.But I agree, don’t expect insane triple digit net margins anymore.

My main question is, considering first loan is close to foreclosure, why would the 2nd lien holder expect any funds from this short sale?

The OPs goal is to buy a househack which is going to be difficult if it needs a lot of repairs.As far as your strategy goes it could work but I think your expected response rate is high.  

I generally expect to be charged extra for each person after the first 2, and am pleasantly surprised when they don't. 

The tenant certainly expects you to hold up your end of the agreement, why in the world would you even consider not requiring them to do the same?

I would expect a wide range as each property in any neighborhood has a different price and rent on it.

I've attached copies of the invoices and expect payment within 30 days.That's it.