Basically I'm looking for input from folks who may have gone down this route before:
Situation: moving to a new area (fairly rural) and looking to buy a home. There's a fair number of homes on the market (buyers market). Modern/recently renovated 3bd/2bath are selling around the $200k mark. There are also two homes selling for $62k and $70k but would need extensive renovations. Both homes passed inspection, but absolutely everything is worn and the decor comes from the early 70s (complete with suspended ceiling int he ktichen and a pink toilet with matching tub!).
My idea: at ~$62k I could put in $100k worth of renovations and basically built it how I like and save ~$40k over a build-to-spec. Due to both time and domestic tranquility I'd contract out most of the larger projects (e.g. drywall, new roof, energy efficient windows, electrical). I'm reasonably handy and have built decks, installed flooring and replaced a few windows but I could only donate a 10-20 hours/week to this project, so I'll probably stick to things like trim, deck, painting, and doing the flooring in the less-used parts of the house.
I'd be living in the home through the renovations (yes, prepared to live in a construction site - done it before, just not on this scale) and I'm prepared to spend weekends and evening hours doing projects.
If I decide to push forward I'll have my own inspector go through everything, and put estimates to everything I need and want to have done. I should have the capitol to pay for the renovations even without a loan (but will be talking to the bank just the same given our low-interest rate environment).
Thoughts?