Considering real estate purchase

[John Whitney]

Greetings!
Newbie here.
My wife's very good friend's mother has offerred to sell an out of state cabin that needs work that she bought in 1971 to me and my wife. My wife's friend, her daughter, is not interested as she lives with her family on the east coast.
The local assessor has assessed it at $500K for tax purposes.
It has not been inhabited since 1986, other than a walk around and through once every couple of years. Water, electricity and phone are off but are available to be restored. It seems to be sound on the inside, roof has been replaced 10 years ago. It is in a very nice area where surrounding year round homes sell for 600K-1.5M.
This is an A-frame 2br 2ba, non insulated single paned windows three season cabin . No garage.
Yes it needs work, but that isn't the issue.
The previous owner carried the note. The buyers were husband and wife.
The note was eventually paid in full around 1990, but the final document was never filed.
The original owner (holder of the note) has now been dead for over 15 years.
That's not all.
The husband and wife (my wife's friend's parents) got a divorce 30+ years ago.
The now ex-husband, who remarried, is now deceased as well.
The recorded title still reads original owner, new owners (wife and dead ex-husband, as still husband and wife).
The asking price is less than half the assessed value.
I'm sure I can pay even less.
Current owner will take back 100%.
She is now in her 80s and wants out.
Title company has done a prelim search, only the original agreement to purchase is recorded.
The original contract may be lost.
The divorce agreement does not mention the cabin at all.
Title insurance will not insure without seeing the original purchase contract and getting signatures from heirs and ex family.

My wife and I are willing to take the risk for the right price.

Any comments or suggestions would be welcomed.

Thank you.