Take the deal or pass?

[Leo Don]

Hello BP!

I’m under contract to purchase a 3 fam home from a owner that passed away from Covid. I found out after doing my own investigation that the basement is rented and it’s not legal. 1st fl tenant doing a lawsuit for negligence from past owner and not paying rent. 3rd fl not paying rent either since I found a prior eviction the owner attorney had started in March but basically got dismissed due to the eviction moratorium. The listing agent told my agent that everyone was paying rent. I trusted that but after I did my own verification I found all this things out. I tried to reason with listing agent and it looks like seller attorney selling as is and wouldn’t delivere the units vacant. 

Im wondering is it worth the headache or better to move on to find a better deal.