Types of financing: "cash & carry/re-hab type fundi

[Ricky Bobby]

I am looking for an REO to purchase that needs some TLC but can be purchased to live in while I rehab it. Something with say running water and good electrical but rough around the edges. I have good credit (750+ fico) but not enough extra income to support rehabbing and paying rent. Basically, if the place doesn't sell right away I want to have protection in that I won't get stick with rent AND a mortgage - hence why I want to move in.

I found this listing:

It's listed at $147,900. Comps in the area of above $200k, using Bank of America's REFI tool.

My questions are, (1) is this feasible and (2) what the heck is "cash & carry/re-hab type" funding? I was planning on getting a standard home loan and fixing the place up over the course of 6 months or so using my extra income to buy things as I can. This way I can get out of renting (been a renter for 5 years, ever since college) and start to move toward property ownership, while putting some sweat equity in the picture.

thanks
matt