I realize that this is how the industry operates and they pay out based on mortality tables etc... but the family feels they were treated unfairly. 

When you treat someone in a war-zone with genuine respect you may be the first person to ever do so. 

So now I have the right mindset and I'm ready to get back to making money, because this time I will know how to treat it and what to do with it. 

If the appliances are in high-end units and are new, they may be under warranty for a year or two; if not, typical lifespan could be 5 - 10 years depending on the way tenants treat them.

They have treated this seller very very badly.

It seems to me that a fair agreement can be reached if this is treated as a debt deal. 

And sometimes they treat everyone the same. 

Shampooing the carpets will not be enough because the smell is in the pad too and can get down to the subfloor as well, which may need to be treated with a stain/odor block paint. 

California is a great multifamily market, but needs to be treated differently that most other US markets.  

But, don't ask me for advice on a deal and then not give me first dibs -- you treat me well, I'll treat you well.