Being a slow thinker bells are sometimes late to ring. On further reflexion I really do not like the vendors approach. I suspect he may be maneuvering to screw you out of your deposit one way or another. He also wants a larger deposit to screw you out of as well.

Be very careful and try to find out something about his background if you decide to persist. I suspect there just might be title problems as well. There is something wrong somewhere. Taking something as is could include a bad title. Or a real property problem with a neighbor. There are so many possibilities.

I get this feeling the vendor may know the deal will not be completed. Even if it is his fault that agreement he wanted signed may still have cost you your increased deposit.

Non inspection of a home in todays world is almost unknown unless it is an obvious fixer upper. Perhaps at a dirt cheap price that reflects everything.

The seller of a house is still usually in good shape as the average inspector if not incompetent seems limited except for very obvious things. I am sure there are some good ones but not around my neck of the woods.

I am only mentioning these things as possibilities. I have been involved in some pretty shakey real estate deals in my time. Fortunatly I picked up things even my lawyers had missed.

We could have been burned otherwise. You would not buy a car as a general rule from a suspected crook. I feel buying a house deserves the same consideration. He has already breached your joint agreement. Get your deposit back and forget this house. This may take a lawyer to get but I hope not.