Hands down I say the Hawthorne house. Anything close in and "urban" (like Hawthorne) is always in higher demand and tends to build better appreciation in the shorter term. You will reap much better equity putting your sweat into the Hawthorne house (provided it is keeping with the character and charm of the vintage so that it appeals to urban buyers when you go to resell). As for Tigard, it is a GREAT suburb of the city and not to far from downtown... but simply not "Portland" and without the awesome, artsy, urban vibe many people are drawn to.
As for the 1 bathroom issue, urban buyers are more forgiving of homes that have 1 bathroom and 1 (or no) gararage because they are typcially buying the location and charm of the house (versus the amenities that newer construction homes offer). So, not a huge issue for resell down the road (although it would be great if you could figure out a way to add a second one).
All of this advice is based on the resell potential down the road... but, nothing should discount what your living goals are NOW. If you're coming to Portland and want urban and can handle the space the home offers you and your lifestyle, then the Hawthorne house is it (per the reasons listed above). If you want to be out of the city, then Tigard isn't too far outside of downtown and would be a great urban alternative.
When selling anything - you want to appeal to the largest pool of buyers possible. With that in mind...consider the following scenario.
If you take 100 buyers who are looking in SE Portland area and 100 buyers looking in Tigard. The number of those 100 buyers that are willing to buy a 1 bedroom home is smaller than if it had 2 or maybe 3 bedrooms. And the same thing - the number of buyers who want to or can do work on a house is small.
In Tigard - a finished house that has no work to be done is more appealing to potential buyers, so out of the 100 buyers looking in your selling price range would be larger than a house that needs work.
Now - if you had plans to finish and possibly expand the SE house - I think that is where you might get the biggest return on your investment.
Now consider this -
Keller Williams Realty Southwest Portland
This is a very personal decision based on your economic situation, your skill level at home repair, and your taste since these are two very diferent neighborhoods. Again, I urge you to sit down with your Realtor so you can make an informed decision.
I guess the first way I would answer that question is: Get the one that best suits you.
You are comparing two very different area, each with a different feel, style and attitude. Tabor is a hot area, But only to certian buyers. Others would never consider living there.
If you are concerned with future appreciation, either place will greatly appreciate if you plan on living there at least 5 years.
The home you spoke of in Tabor seems to need some updates and only has one bedroom. Is there room to expand? Is it priced accordingly?
About the condition of the Tigard house, once you make an offer, you are advised to have an inspection, negotiate repairs, and you may want to ask the seller for a home warranty.