1940's 2/1, ~1000SF --> What to do? What to account for?

[Timothy Gleason]

As the title states, I see these homes all over the place, as I live in an older town that had a strong military build-up during the WWII period (Pensacola, FL).  They typically have brick or asbestos facades, pier foundations (crawl space), tiny kitchens, small closets, and wood-burning fireplaces. Some have been upgraded to central air over the years.  Many are in decent, safe neighborhoods.

Besides the usual updating, repairs, etc, there are also potential issues relating to antiquated wiring, lead paint, asbestos and others I'm sure.  When you come accross these homes, what strategies typically work for you?  Light rehab & rent?  Full Gut & Flip?  They're so old and out-of touch with what today's buyers are looking for...but there has to be some way to monetize...right?  (I've got my own opinions, but I'll hold those until later in the post)

FYI, depending on area, most of these retail in the $80-90k range. REO's can be found in the $40's, and I've seen distressed ones go in the $20-30 range...esentially the value of the land itself.

-Tim

Example photos included: