The previous owner was BLEEDING a ridiculous amount on energy loss.

There are still a lot of forclosures on the horizon in those areas and until that bleeding stops the price decline won't stop.Just my 2 cents.

Note: I know that it is currently bleeding but given the price and fixing it up a bit ,may be a good one.

I gotta stop the bleeding.

You will want to have a lender who can do a construction loan with interest only so you can not bleed too much during the first 3-6 months. 

Good points and better educated borrowers Contingent liabilities bleeding over to others involved could be another aspect, I don't know, but I'll just bet the RE brokers here have given standing orders to all agents....no seller finance deals through this office!

That is a town of 500 people that swells for 9 months a year because of tourist.

The tenants will run out of oil and complain the furnace is broken , they will also complain when they have to pay to bleed the oil lines since it ran out of oil .. 

You can absolutely find this kind of inventory within Raleigh limits.To answer your question specifically - all of those cities have development through the rough - residential and commercial, more on the way and swelling buyer demand.

And, that it will last maybe a few years, because radiant humidity will swell the MDF, thus deforming and destroying the locks.