Unusual purchase plan- discounted price for free rent. Feedback?

[Julie Cope]

I have an idea that is either crazy or brilliant, and would like feedback.

Nutshell: Find older (70+) cash-strapped homeowners with lots of equity who want to stay in their home. I purchase the home at a substantial discount. In exchange, the former homeowner lives in the home until their death rent-free. I perform repairs/maintenance on the home for the life of the former homeowner. When the former homeowner dies, or leaves the property to live in assisted living/nursing home, I take possession of the property. I then turn the home into a rental, or sell it for a profit. 

More details: I calculate the life expectancy of the homeowner. I offer to purchase the home for a discount equal to the expected cost of PITI plus repairs/maintenance for the life expectancy of the homeowner, plus a margin for profit.

I have the option to refinance the home to pull money out of it after purchase to finance other real estate deals. This creates access to capital.

Potential benefits that I can think of: 

-Very stable tenant.

-Less repair costs, as elders are generally gentler on the home than families. 

-If the person dies sooner than expected, I pocket the profit. 

-Often a persons last years are in assisted living, a nursing home, or with their children, so I could take possession of the home (and generate profit from it) sooner than the persons death.

Potential risk that I can think of:

-Higher out-of-pocket costs/negative initial cash flow with delayed financial reward. 

-If the person dies later than expected, I face a financial loss. 

-I would need to hire a Real Estate Attorney to draft this unusual purchase contract, and that would be an extra cost.

-It may be difficult to locate homeowners who would be interested in this arrangement.

OK BP Community- What do you think? Don't hold back, I'm open to all kinds of feedback.