There almost certainly already are boarded up or burnt out homes in the area before you buy. That's why they are giving these away. It probably only makes sense

There almost certainly already are boarded up or burnt out homes in the area before you buy. That's why they are giving these away. It probably only makes sense if you can handle the renovations mostly yourself. You can make a decent profit on these, but not in a home flipping sense. You have to become a landlord. You are in it for the cash flow from renting it out. My father in law does this in Baltimore. He'd make a lot of money if he wasn't so bad at rehabbing the places. He spends too much, makes them too nice, and can't rent them out for any more than the going market rate. Best house in the ghetto isn't worth shit. If he just did the bare minimum he'd be doing pretty well. And if the area ever gentrifies, he'll make a fortune. One trick is to get Section 8 housing vouchers. That makes sure you are always getting at least some of the rent. The downside is that you are basically a slum lord. He has to go and knock on doors for rent. It's definitely not passive income--like renting a condo to working professionals can be.