So I just installed kdeneon 15.5. I am able to get flatpaks setup. But snaps are showing up when I search. I checked the sources and it shows snaps checked but greyed out. Is that normal?

I observe the same in Discover.

The SNAP button is greyed out.

However, i have installed some snap packages.

KDE Neon Dev Stable and KDE Neon User

woodsmoke

Double-check that you have the Snap backend for Discover installed (in discover search for "Discover snap backend" or install the plasma-discover-snap-backend" package)