Buying Real Estate from a Friend Sucks

So, I've been renting a condo in Vestavia Hills (Birmingham suburb) for about a year. My friend who lives in Colorado inherited the property and it's been in probate for the entire time. Well, last month she got the all clear to sell it.

I had an "Aww frick I've got to move again" moment, and finally decided I would just make her a reasonable (actually more than reasonable offer) to just buy it figuring it would be a good investment property when I finally outgrew it. The payment on a 15 year note would be less than I'm paying in rent. I can even pay an extra $200 a month and still be even, meaning I'll own it outright in about 10 years.

It seemed to be a win win for all parties involved. I don't take a commission or ask for closing costs and she nets a nice chunk of change since she owes nothing on the property.

Well, she countered back, because she talked to some idiot in Colorado that doesn't know the market, at something like 10-15% over market value. I understand the reasoning, Colorado real estate is going insane and is on the verge of a bubble burst, but this is a no go for me. I'm not overpaying for something that I won't be able to sell for at least a modest profit in 6 years or so.

With a stranger, I'd play hardball and tell them take it or leave it, and begin looking for another condo that's reasonably priced for the market and offer the same deal, no commission and no closing costs.

But this is a friend since middle school, so over 20 years.

It's hard to play rough with a friend.

What would the OT do?

Negotiate as if she was a stranger?

Pay more than market value just to save the headache of moving again?

Or just walk?