She is a sharp, elderly woman who grew up in this house since she was a child. 

ContextThe story is that an elderly couple purchased and owned a number of multi-unit properties which they unfortunately purchased 4-5 years ago.

I was just slapped with $4K in back taxes because the previous owners failed to remove the elderly exemption after the father had died.

I'm working a deal where 1/2 owner (an elderly woman whose affairs are being handled by her nephew) is willing to sell while the other owner (heirs of the deceased 1/2 owner) refuse to cooperate.They tried to sell the property in the past (about 3-4 years ago) and all the other 1/2 owner had to do was come down and sign some paperwork and they would have received a check.

She's elderly and I believe just wants to rid herself of the headaches.

Don't do business with people that lack capacity... if you are unaware this article explains it: http://www.nolo.com/legal-encyclopedia/lack-capacity-to-contract-32647.htmlI don't need to go to the link, but unless you are a shrink, you'll have a tough time proving an elderly person lacks the capacity to contract, ever question an older person to determine thier ability to understand a contract?

The home does have a section 8 elderly tenant in the home who has been paying for rent for 20 years.Any ideas on what I can do here, it would be nice to take it off her hands maybe assume the note?

if you appealed to an elderly tenant if could be a viable proposition.If anyone has ever had aging parents who insist on living alone a housekeeper/maid would be a great idea.A couple of Gay friends of ours did just that with their respective active mothers who were already good friends.

Thank you, @Sam Elder .What is the distinction between HML and private lenders?

I have a very nice elderly lady who wants to sell me her house.