Cold Feet... Next Steps?

I'm from MI, visiting relatives in SC. I found out that a property up the street just hit Trulia, but has been for sale by owner for months. I called the owner and she and I are going to meet this week.

This place was once owned by a family member who defaulted. It sold for as much as $75K back in 2006. I'm also friends with the guy who did the renovations prior to that sale.

The current owner (an investor) wants to sell badly and is asking for $18K! It's a rental, but I don't know yet how much he's getting.

I'm still looking to do my first deal as an investor. I could easily pay cash, but have excellent credit and could get a great mortgage rate. I just realized that I'm at a loss as to what to do next. Any ideas out there? Thanks.