If he was including the new HVAC and water heaters under his scope then I agree the electrical might should have been pointed out, however if the owner contracted for these items with someone else I am not sure that the contractor is responsible for electrical deficiencies that arose later.I think this is the danger in having a time and materials contract and sometimes it works sometimes its does not.

Can't wait to interact with you all more when I actually have something of substance to share.

That's a win-win.The only reason to consider that dangerous is if the OP lacks the education it takes to properly analyze the deal to assure a profit before going in and/or doesn't have effective escape clauses in their purchase contract.

There is a potential danger.   

That area was my sales territory when I worked for MillerCoors brewing, and let me tell you that it is one of the most dangerous places to be in Chicago.  

If you are broke, you are living very dangerously and need to sell the place, or get a second job to get your income up and build reserves.$1-2K is a very expensive repair and $5K is way too high to replace it.

I think the motivational aspect is great, but the fact that he blatantly dismisses the need for higher education is at best ignorant and at worst dangerous and reckless.

As long as you're not intentionally making the dumpster unnecessarily dangerous or alluring, liability is pretty low.Even if you catch a dumper's license plate, you're not likely going to get the police to care and it'll cost you more in time lost to try to litigate. 

In DFW there are a number of larger wholesalers who can be helpful if you really know how to rehab and know your numbers cold - can be dangerous if you don't. 

The danger that comes with that is that it sounds like you don't have the financial modeling experience or market expertise to accurately represent the property to potential buyers.