The lack of income verification and the deposit payment issue are also red flags.

Maybe turn that red L into a straight line and put in a standard width door that opens in To the bedroom.

To the contrary in my experience sellers reply to such demands as you've shared has been "tell them to kick rocks". 

I could maybe see it with a bona fide, proven credit risk on a rock solid, doable contract at 3x EM in equity price/terms and assignable to me to step in as buyer with enough time to save it if going to breach.  

Not everyone is a total rock star like you ;) All the best bud.  

.: Red flag. 

I found the renovations costs to vary widely and a couple of contractors said it costs X amount of dollars with no line item estimates (red flag there).

This is great, my job is right in the middle of Round Rock, what are some good areas around there to consider as well?

Blue, Green, Yellow, Orange, and Red are A, B, C, D, and F, respectively.

Ohio is red, PA is blue....The answer is clear where you'll be better off investing.