House I offered on is going to tax auction

[Kellie Alkayam]

I made an offer on a house in California. The seller has a lot of health issues, which have delayed negotiations, but we have verbally agreed to a price, and I am waiting for their signature. I was just browsing the California tax auction parcel number list in preparation for the upcoming auction, and stumbled upon this particular house. The sellers owe over $8000 in property taxes, and the house will be hitting the auction in May.

I already feel the house is a good deal, and the numbers make sense for my purposes. I know there's no guarantee I will win the house at auction, and I'd like to keep them from losing the house altogether. If you were in this situation, would you just let the seller know that you see that the house is about to go to tax auction, and try to close on it as quickly as you can? Would you try to negotiate for a lower price? I want to do the right thing for my business, but I also want to do the right thing for the sellers, so I'd love to know how others would handle the situation.