I wouldn’t say they trashed the place, they just didn’t take their broken furniture with them.I would make sure you understand the laws before doing this yourself (although a PM).

What is really happening in the market are buyers are offering higher expecting the home not to appraise then expecting the seller to drop the price because as mentioned above buyers don't want to pay above appraisal price.

A lot of the other numbers they provided seemed a bit out of line from what I would typically expect too, the water testing I’m not familiar with and though I may get some good guidance as to whether the costs seem right or not.

I'd expect the appraisal to come in at $755k.

Finding things you would not have seen in a walk through is expected (Broken joist in attic).

What would be the expected gain on sale of the note, and how does that work?

To my surprise they are not as easy to find as i expected.

I am just trying to understand better how much more in addition to the down payment should you expect to pay!

Listen to them and be realistic with what to expect. 

What should I expect if I am looking for quotes for this job.