Hi. I'm David, and I'm happy to help you.
Honestly, since you're running into a wall with the password and the recovery key, your best, and truly only, move here is to do a clean installation of Windows using an installation media (USB flash drive).
The original owner likely had BitLocker turned on. When BitLocker is active, Windows completely locks down the drive to protect the data. It won't let you do a built-in factory reset, use command prompts to bypass things, or keep files without that specific recovery key. It's a security feature doing exactly what it was designed to do.
Since you want to completely wipe the laptop anyway, a clean install from a USB bypasses the locked operating system entirely and formats the drive from scratch.
Since you mentioned it's "fairly new" but tagged Windows 10, I'll aim for Windows 10.
If you don't have an installation media, create one using the Media Creation Tool.
You can create the installation media on an empty USB flash drive with at least 8GB.
1 = Below are instructions for creating installation media on a USB flash drive.
(You will need to create the installation media on a working Windows computer.)
- Access the link below and click "Download now";
https://www.microsoft.com/software-download/windows10
- Double-click on the downloaded file to run the tool;
- If prompted by UAC (User Account Control), click on "Yes";
- Read the terms and click "Accept" if you agree;
- Select "Create installation media (USB flash drive, DVD, or ISO file) for another PC" and click "Next";
- Uncheck the "Use the recommended options for this PC" box. Then, select the Language, Edition, and Architecture you want, and click "Next".
(Most computers use the "64-bit (x64)" Architecture.)
- Select "USB flash drive" and click "Next".
- Connect the USB flash drive you want to use, click the "Refresh drive list" link, select the USB flash drive, and click "Next";
(Note that the files on the USB flash drive will be deleted. Make a backup of the files if necessary.)
- Wait for the procedure to finish and click "Finish" when the USB flash drive is ready.
2= Then, access the article below, go to the end of the article, and expand "Clean install" under "Steps to reinstall Windows with media" to see the instructions.
In your case, start the computer using the installation media and proceed from step 2.
(You may need to change the BOOT property in the device's BIOS settings. If you don't know how to do this, please tell me the laptop model.)
Feel free to ask any questions you may have.