Most RE investors just don't understand macro risk and rationalize it away because they're emotionally and financially invested.Calvins outline of current conditions was excellent, I can't improve on what he said but I might be able to expand on it to give you an even clearer picture, and some actionable advice.  

Market is an emotional man and you have to be less emotional than him to win" (Paraphrased.

I think you'll find your biggest hurdles are less legal and more practical/emotional. 

Law is illogical and emotional.

The reason many investors sour on rentals is they allow emotions to get involved.

You bought it with an emotional attachment (home town).

Well said.With all the laws (maybe just here in WA) requiring us to screen applications in order received and emotional support/therapy/comfort/service animals and whatever else, my goal is definitely not to bring in every un-screened applicant I can.

They're sobering for an emotional guy like me.  

Follow up 30 days later or so with a phone call, but nothing too pushy or frequent.You may just find that she has some time to work through her emotions and all of a sudden she calls you and wants to work with you.

The reason you come up with this price first is that often we become emotional and want to make a deal work because we have put time into researching it or we just really like the property.