I'm still mystified...

It works both ways. If somebody wants to come by and pay cash, should they have to pay the full price with PayPal fees included in the price? If somebody sees a paypal surcharge, then pay by check and don’t pay the fee. It’s the buyers choice.
Also, when you go buy a car, you don’t know what the out the door price is until you know what taxes you will be paying, registration fees, etc.. all you know is the cost before all the fees/taxes attached.
Have you ever tried to buy an expensive item with a credit card? Some dealers will want to try and charge you for the credit card cost. It all depends on the markup and what they make on the transaction if they can pay the fee or not.

It’s all negotiable and all that matters is the out the door price. 

OK.  Don't buy.  Sounds like a good solution.

What's the difficulty here guys?  Just add the 3% to your asking price and offer a 3% discount for cash.  Simple stuff seeing as both PayPal and Visa/MC don't allow merchants to upcharge for using their services.  I'm surprised Audiogon hasn't stopped the ridiculous 3% upcharge crap considering the potential problems.

Agreed
All I can say is try pulling that stunt on Ebay and see how long you last.

Maybe it is just me but I just do not agree that is all just about the out the door price.
Anybody who even has the mentality that they think they can try and charge a buyer THEIR legal obligated PayPal fees does not deserve my business and will not even get a look in.

Its all just in the mind I admit but why even take the chance you will alienate potential buyers in this terrible market right now.

If 3% is make or break to you then maybe you need re-examine your price to begin with.