Buying a Property on Contract - Pros and Cons

[Kyle Allen]

I located a run down property that is on a very large lot in the center of town n a profitable neighborhood.  The house has been gutted down the the studs and left.  This creates an issues as no bank will give me a loan to purchase the property in its current state.  I am considering offering the seller a down payment plus payments for a defined period until the property is in a condition that the bank will approve the loan.  Has anyone dealt with an issue like this before.  What are the pros and cons?  what are your experiences with this?  Generally i try and stay away from contracts and deal with straight purchases but given the condition of the house i do not have sufficient funding to buy the house outright.  I have enough to renovate the property but not to purchase.  I would love to hear any responses on this as i have not dealt in contract purchases before and would like some honest opinions on the subject.  

Thank you all in advance for your time.  I always enjoy and value my interactions on here.