I'm sure they can shop around and see you're giving them a good deal.I also recommend you ignore their claims of buying a house.

When you are out of state investing having a relationship with a contractor who you can trust, and who can get into a property in a timely fashion and give you a good quote are far easier said than done.The process is normally an investor friendly agent has all of these kinks worked out before hand. 

Even in the large "hotel volume" quantities that many of us are purchasing in, seems odd that we can't find somewhere better than Costco which is where everyone shops!

Also because the walls are kind of like old-fashioned wood panels that you can’t find today the contractor suggested you could put a moulding like a baseboard to cover up the 4 inch that was cut off.

Told their agent they should have been shopping earlier so they could buy that house, but my final offer was still $120,000. 

I'm going to be purchasing my first property soon and I'm currently shopping for a mortgage.

@Christopher FinkI would shop around more on that loan.

After about two weeks of shopping for financing,  every thing you said here has been confirmed. 

@Leland Barrow  I agree money should be found close to the asset.. those are the folks that know it the best and are usually the most aggressive in terms etc.We ran a decent size HML shop in the day.. and did a lot of out of state deals but we were referred to the borrower I did not even have a website and still don't to this day..

It's well worth it to shop around.