What is the shortest way to explain to him (without stressing him) that tells him the realtor dropped the ball? 

It sounds like your seller is getting advice that might not be in his best interest so if you are sold on the property and the work and the price, develop a proposal that shows immediate cash now in a changing market rather than hoping for a sale and having to hold and maintain it.I would be very conservative with the ARV on the property as with more interest rates looming, you will see values drop to adjust for that . . .we are seeing that in multiple markets we work in which 6 months ago would never have happened.

I'm thinking about this now as market is dropping.

Hoping to both identify the property as a single entity and to drop some of the taxes.  

Paying cash now and then doing a refi when rates drop is what I'd do.

It’s been sitting on the market close to 100 days now and they only have dropped about 7% in price or about 50k. 

I have done them a couple different ways in the past, but I am currently using Open Letter Marketing for the first time and trying out the automated version on a campaign dropping on 1/2 🙂!

Nope, I don't believe there is a drop of legitimacy in this, just trolling fun by someone. 

Collin, what drop percentage in valuations do see on the horizon?  

Could be an option if rates drop below what your rate is over the next year or two.