I'm guessing you are on a deadline to occupy the property to conform to the terms of you loan. 

If just for the closing date with no mention of loan approval deadline, then yeah, seems like it's yours. 

So his deadline passed and he added back the amount onto our balance (which was zero).

This one we have another day or two until the response deadline.

I generally find that if you are understanding of the situation and treat them with respect while at the same time being very firm about the deadline that they have agreed to that you can work it out with people.

Make sure you close before the deadline so you have time to put your plan B in place before the contract expires.Just make sure you have a good attorney or title company and document everything.There's all kinds of ways to structure deals.

For one to say that they use the same contingency in every offer that has no deadline makes no sense at all and I seriously doubt it would fly with every seller.As a seller, I would never sell a property with a no-end contingency which avoids the last day back-out some have talked about here.

.`(9) DOCUMENTATION AND VERIFICATION OF INCOME- In complying with the FHA underwriting requirements under the HOPE for Homeowners Program under this section, the mortgagee under the mortgage shall document and verify the income of the mortgagor by procuring an Internal Revenue Service transcript of the income tax returns of the mortgagor for the 2 most recent years for which the filing deadline for such years has passed and by any other method, in accordance with procedures and standards that the Board or the Secretary shall establish.`(10) MORTGAGE FRAUD- The mortgagor shall not have been convicted under any provision of Federal or State law for fraud, including mortgage fraud.`(11) PRIMARY RESIDENCE- The mortgagor shall provide documentation satisfactory in the determination of the Secretary to prove that the residence covered by the mortgage to be insured under this section is occupied by the mortgagor as the primary residence of the mortgagor, and that such residence is the only residence in which the mortgagor has any present ownership interest.

Do plenty of research on this forum, but set a firm deadline when you will do your first deal...maybe 60-90 days out.

Set up an imaginary deadline.