Hello Matthew, Feel free to read my reply to @Dan H. the rehab cost was set at 40k due to the significant discounted price of materials.

The literally single biggest mistake that people make is to buy a class D property, because it was cheap to begin with, 90+ days on market and they were able to negotiate a "discount" - ask them a year later how that worked out for them. 

Meaning, they are not willing to:- sell their property off market- go into contract with a wholesaler- sell their property for a discount (i.e. they want 'top dollar')In cases like these, an agent can still assist the homeowner by helping them sell the traditional way.That said, wholesaling can be lucrative so I echo the advice you've received here - get out there and speak to people in the industry who are willing to share helpful information.All the best!

While buying someone else's position at a potential discount is great, I would rank this endeavor as a magnitude of difference harder than making an initial investment.  

and as a seller I am not discounting the property it will screw up my comps.. so curious how you navigate that.Now I guess there could be the envelope with cash and a wink and a nod.. but most unsophisticated buyer sellers are going to have issues with that as it wont sound right ... ???

How are flippers purchasing items such as Tile, LVP, Windows, Doors and so on at an extreme discount?

By negotiating 20-35% discounts, we managed to achieve cap rates between 9% and 14%.I've also started managing properties for three of these clients, listing their rentals and ensuring everything runs smoothly.

They may have ways of offering great discounts.

He wants to sell it to me at a discount.

That seems high or not even required.Why are you paying for discount points and still getting a rate over 8%?