BiggerPockets

I'm not familiar with your area, but this seems like a deal I'd pass on. Not enuff margin . If you are still getting bids for foundation, etc., I'd see it this way.
What it sold for in 05 is irrelavant. If you buy for 20K , add costs of close and miss on repair estimate(say 45K), you're at 65K and you haven't paid for the hard money yet, and closing costs to sell. Assume the lower end of 80K and you didn't make much for your risk.
In most areas, a single bath is what we call functional obsolescence, but as I stated, I don't know your area. Your profit would be reduced every month until sold. As a HML, I would not be interested in this deal. Other thoughts by other posters? Good luck. Rich.

Depending on where in the spectrum the actual numbers lie (post appraisal and bids) You could be looking at an %LTV as high as 85% which would mean that you would be looking to bring in 5-15% Cash from pocket.

If you have a chunk of cash that can be invested in the deal, it would become a lot more attractive to a hard money lender.

I would find another deal and I'm basing that solely off the fact I am a General Contractor, in addition to being a RE investor. Anytime I come across something with foundation problems like that, it is best to walk. Without seeing or knowing anything about the job, it sounds like you've got stem walls around the perimeter of the structure with the floor joists being supported by piers in the center. This type of work can be very expensive (noted by your estimate) and take a long time to complete.

The bigger problem though is that you could very easily have a 30 or 40k foundation retrofit turn into a 60k job and take three times as long. If the floor joists are damaged, you may have to replace them. What about the soil? What is the composition? Are there interior footings? There could be a number of factors that could drive your costs up that the contractor initially misses. That doesn't even account for stuff he knows he can nail you on later. If that happens, you will be way upside down. Good luck whatever you decide.

I don't know if I'm off topic but there's a duplex across my 5 plex and the situation was like that too. The foundation was messed up just like someone was drilling a road. Somehow an investor or a person offered at $500.00 in April 09 and I think they probably flipped to another buyer for $7?,??? something. I felt bad he's going to have a hard time getting that repair or maybe he knows what he's doing and have lots of money to fix.

If it was a flipping to the end buyer and they're charging that much, I don't think it's fair. Too much rehab and cost.