Too fairy tale-ish for me.
From Gus spotting him, disguised, in a red BMW in the first place, to him just happening to driving by his hideout to him magically growing the balls to sneak up on and enter said house.
your taking it from when Gus spotted him, but Gus knew his family was in danger prior to that, hence the phone call to Molly before he spots Malvo, then Gus seeing the Wolf kinda made something click, I think many fathers may or could easily be depicted as "magically growing balls" in such circumstances (along with his previous experiences with Malvo).
but is cool breh its all open to interpretation, This is just my humble opinion.
Also the basement thing you seem to struggle with, with Malvo's ability in "tight" situations (to say the least) why is it such a reach for him to get out of the basement, did you see the other shyt Malvo pulled off in the 10eps?