To me it appears to be a classic investor value trap. 

I have a deal in my pipeline that is a classic situation of an older person passing, heirs wanting to sell quick, property being a mess in terms of clutter, never updated, full-gut kinda job.  

Agreed, buyers are most often looking for the classic 3/2 although here in Florida with the snowbird factor and empty nesters/retirees there is probably a larger market to sell 2 bedroom homes than other places

Probably original hardwood floors, beautiful classic design.

Most housing that cheap is going to need substantial work and is excluded from classic lending products.

@James WiseundefinedThat is a classic! 

I've hit the classic 'door barrier' (I'm at 6 buildings and 18 doors plus a principle residence by a combination of bank mortgages and LOC funding.

That's a classic start up strategy whether stocks or real estate. 

The most "classic" and affordable are single family homes but some investors prefer the "2-for-1" duplex option for first time investing.If (1) You're able to move, and (2) you want to be creative with your financing, I purchased a duplex (my first investment property) and did 5% down FHA loan.

I'm your classic newbie who has big dreams and is scared to death about those first few steps.