rental deposit issue when the deal is off

The owner said in the middle of the application " ""I have never lived in this home before and I do not know the "age" of the appliances so I am not willing to put money into the repair of appliances that I plan to replace with new appliances anyway when I renovate and move in. I am willing to split the cost of any repairs 50/50, but I am not willing to cover them solely. " So the deal was ended... [more]

The owner said in the middle of the application " ""I have never lived in this home before and I do not know the "age" of the appliances so I am not willing to put money into the repair of appliances that I plan to replace with new appliances anyway when I renovate and move in. I am willing to split the cost of any repairs 50/50, but I am not willing to cover them solely. " So the deal was ended and the owner is responsible for this deal break. However, he returned our deposit (we sent him one-month deposit so that he change the listing as "in contract") deducting $125/week. So basically we received the deposit minus $250. We agreed that we will receive our deposit back deducting $125/week in case we are not approved not when the deal is off because the owner added a non-standard term in the lease after accepting the offer. What do you think ? I'd like to hear the opinion from others. [less]