He might seem like an a hole but consider his upbringing+ he made the same healing potion for his granddaughter which was the same as Mr. Miyagi did for Daniel when Terry made his knuckles bleed.
While he did that, he spoke softly to his granddaughter about not focusing on the past. He showed a gentle side and when Kreese came to talk to him privately he let Kreese know that his granddaughter will be included in the conversation.
Also we never saw his bad ass dark scroll

in action. Miyagi has a,secret

as well...
Fun fact about Master Kim Sung Yung, that move is used by Ogata isshinsai who i named My username in his honor.
Terry Silver ending PISSED ME OFF!!!
When he came to Lapusso household to talk to him and Johnny, he opened up about his illness. I really thought that he truly just wanted a one last karate hurrah. But they literally turned him in to an evil mob boss trying to get Dennis to kidnap Carmen and the baby like WTF!?
Even Silver mentioned his ridiculous behavior during karate kid 3 and this was uncharacteristically way too evil Even for Terry. Made no sense.
I thought ending would= Kreese and Silver having an honorable duel, fight it out and kind of salvage their old friendship remembering how they used to spar when they trained with master Kim sun Yung dojang.