And what are the odds of you not reversing your transaction (known as chargeback I reckon) and running away with the Bitcoins transacted to you? That is a very common exercise by paypal sellers and I have seen a lot of victims of this.
So anyone finalizing a deal like this, must be very cautious, as it can turn anytime against you.
You are still considering the odds when its sure that is what is going to happen. Reversible payments like this are just a no go area for someone who values his own btc for it to be lost in such a cheap way that has been announced every time. Unfortunately, people will still fall for this and with the promise of 'family and friends' which ultimately is reversible. You want to dispute it, you are at the mercy of the of who will be giving the judgement.
Why not just exchange your PayPal fund with bitcoin through virwox?
He knows this option exist but he wont want to go this route because it would be difficult to carry out such reversal on platforms like this without serious consequences simply because of the controls that ave been put in place to avoid situations like and the amount of verification to be done, its best to avoid it all together.