That was fine by me, but I'm uninterested in making her money any longer than I have to. 

Become an LO in the Private/Hard Money space, and pursue both.

Then how many of those do you think actually deliver?

You further implied using a hard money lender - why?

That's why it's not selling.In most markets, your Maximum Allowable Offer (MAO) to a seller should be no more than:        MAO = (70% * ARV) - Repairs - Wholesale_Fee        MAO = (0.7 * 290K) - 40K - Wholesale_Fee        MAO = 203K - 40K - Wholesale_Fee        MAO = 163K - Wholesale_Fee               - OR -        MAO + Wholesale_Fee = 163KSo, you'd need to get this under contract with the seller at under $163K to make any money at all as a wholesaler.At $200K you're NEVER going to get any interest from experienced rehabbers.This is also why you probably got no resistance or pushback from the seller.

It would really suck to lose money and also have to pay taxes. 

Multiple, billion dollar companies are investing substantial amounts of money into our area, such as Intel, Google, and Amazon.

If tenant is typical without a lot of money, and being honest, I would reach a reasonable settlement and not add misery to their life. 

This will be helpful in your research.Rent To Retirement actually has more 5 star reviews than any other company on Bigger Pockets, so I recommend doing your own research from people that have actually invested with us and understand how our process works. 

If it does not work I will likely try to buy it outright and a bit lower price and use Hard money.... 1 Bed / 2 Bath Condo about 900sq ft - Can NOT rent out unless owned for 3 yearsAsk: $225k (likely will try to contract for $215k) - place is in great shape.