crazy. lost my long winded post. First off, offsite catering is much different than doing an on site event. You are schlepping food, props, staff, etc. It's more expensive than eating on site.
You were giving away the house with your initial cost.....feel fortunate that they opted for a much more modest event.
Depending on the profile of the MOB/bridal couple, you could do cheeses and desserts for $14pp