I like the idea too, scaredy.I like it even if you could never get financing later. You have two things in your favor,offering on stuff that most other people don’t want and paying cash. You sound like you are ready for a challenge… buy a terrible fixer. Put your family to work on an on the job training sweat equity project.
The risk is going to get covered by the good deal,free labor, release from rent or mortgage forever and a potential cash flow asset. All this opens up a line of options perhaps not previously considered, and wonderful life experience for all . No doubt about it.