Fire Damaged and other Damaged SFH

[Byron K.]

I currently live in Massachusetts but will be moving to Atlanta next month. While up here, I started checking out real estate and starting to network. I found a home that was overpriced and had been on the market for a few months. I met up with the guy and toured the house and it was in TERRIBLE condition. We're talking 75-100k minimum to rehab. Since then, knowing I'd be moving to Atlanta, I started searching homes here to understand the market a bit more.

I've started to see many homes similar to the one in Massachusetts. More and more that are either in bad condition or are fire damaged.

My question is: what are the risks (and opportunities) for these homes? Am I wrong in thinking if the price is low enough that any damage the fire caused could be made up and still leave room for some profit)? Or are most damaged beyond finding any value in them.

Any insight would be helpful as we all know, in certain markets, inventory is drying up but it's interesting to see homes like this still on the market (their must be a reason, right?!)

Thanks!