It gives the "illuaion" you did quality finishes.Paint the walls, a nice blueish grey color and paint all trims white.I would NOT demo the house.

I like that style of drain tile better, because it has a lip on the wall so it handles wall and foundation.

Then after tearing them out I found the leaks behind the walls were worse than expected. 

The owners were living in it like this with garbage bags duct taped to the shower wall.

If your main goal is to get the wires behind the wall then I would hire an electrition to accomplish this task alone. 

I don't want to take on too much of a project at first I'll be hoping to find some sort of cosmetic fixer upper that doesn't have asbestos and that needs minor repairs like carpet,walls,paint windows, in need of new insulation ext. but nothing too crazy yet.

They had left some dog poop in a bedroom and panties hanging on the wall.

I might consider something ground level behind the sea wall.

@James HamlingAs a former Wall Street banker turned tech executive turned tech investor, my contributions have been very significant by way of sponsoring talented people, helping fund companies and enable job creation and none have been undertaken trying to brainwash the vulnerable to line my pockets.

A lot of house hackers will put up a wall/door, add a kitchenette to the basement and then you have essentially a duplex.