A low offer like that should also come without inspection contingencies to sweeten the offer.If you can get the seller to come back with something like $125,000 then you know they are willing to negotiate.

@Joe SplitrockThere is a pod cast that talks about how to sweeten you purchase offer. 

What incentives (at this price EVERYONE is going to be a cash player) can I offer to sweeten my deal?

Time for the politicians to sweeten the pot for Amazon.  

If we don't have an agent I'm thinking the listing agent could give up a couple of points on her commission to sweeten the deal for the seller and make it happen, so, could be a benefit there as well I suppose. 

@Justin Tippens it depends on the numbers, but you'll probably have to offer near listing price, because the seller is not getting a lump sum, you'll have to sweeten the deal

There are some ways to sweeten a deal like this, agreeing to a deed in lieu of foreclosure, but you can't require that in the deed or make a quit claim deed, but you could offer it in a letter along with a hold harmless agreement, we will need your attorney.

You could offer the 20% down with maybe a little higher interest rate to sweeten the deal for the seller.   

Hi, I am jumpstarting my REI journey with trying to attain my first investment property this year. Recently, I made an offer on a duplex that was declined to due cash offers that were on the table. It had me thinking,...

If they aren't moving as fast as you'd like, I'd find other ways to sweeten the deal (like lowering the price) before staging.