Don't let the landlord get to you. There's a tradeoff between renting and buying. You rent so you don't have to deal w/fixing what goes wrong. You buy when you can afford to do that. You said you had to have an inspection anyway, so why should the landlord get his panties in a bunch? If I learned anything in my life, it's this - SAFETY FIRST. Landlord doesn't like it? So what? If your wiring isn't up to code, it needs to be. That's why you rent! As far as him trying to hide the faulty wiring, that could be worse, since they probably won't cap off the old wiring.
In addition to taking pictures, you should think of starting a diary of what happens when, who you talk to, etc. It looks like things could get really ugly. If they do, you want to have facts of what happened and who you talked to, when you talked to them. Memory won't stand up in court. Well, it might, but it looks a lot better to turn the page than say "um, around this date...".
I've lived in apartments, some good, some better, so I feel for you. Good Luck!
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