If a seller understands that they are selling their house at a discount and signs off on it, then they are within their rights to do so. 

"Great" for your tenants, they are getting their space at a 20% or more "discount" compared to market because the previous owner or manager didn't price the space (using the rentable sq ft method) "correctly".Your Market -So you have a building 100% leased.

Buying a property like this all cash means that you eliminate competition from any retail buyers, and get a discount accordingly, but the risk is that the house needs work.

Looking to add value to investors actively pursuing properties because we have consistently discounted property opportunity on our desk.

When sellers accept this kind of discount, many times there are issues the seller just hopes will go away, or be missed.  

So when you start stacking up a bunch of those things it can be clear why FSBO is not a favorite versus listed properties by their peers.It's also another reason why buyer brokerages shy away from discounter listings.

Or, if he chooses to, he can gift it or sell it to family at a discounted price.2) Make a minor renovation ($40-50k) to make it very comfortable (central AC, new bathroom, etc.) and hold onto the asset and maybe down the road gift it or sell it to one of his children.The house is his best asset and my attitude has always been #1.  

Short sales 1-3 years ago could be very profitable because the banks were more willing to take deeper discounts. 

Wholesaling will not ever die as long as there are rehabbers looking for discounted properties to fix and flip.

I could see a discount in dues if you did work, but can't see them requiring you to work.