Just a noob trying to learn, and this seems to be a "teachable moment", so...
Looking at the neck repair, it looks like part of the pegbox was what cracked. Correct me if I'm wrong, but isn't the reason hide glue is used on classical instruments primarily so they can be taken apart and reassembled later? Since this epoxy was used in a place where there normally wouldn't be a glue joint, what are the negative aspects of using the epoxy?
Also, I will point out that Scoggins is identified as the shop that made the repair. A brief search online shows that they have a good reputation.
Garbanzo, If I were in your position, I would ask the seller to meet me at Scoggins and have them give it a lookover in your presence. If you like it, make him an offer. At the very least, you'd get an idea of what to look for while evaluating instruments in the future.
On the other hand, while I understand your reticence to mail-order, a Shen from Upton's would certainly be something to look into as well. Based on the reputations of both Shen and Upton, might be the less risky proposition. And you'd get a bag as well as an adjustable bridge.
Good luck in your quest!