Once the work orders are completed and you are credit approved for the loan all of the information is given to an appraiser and he/she will determine value after all of the renovation is completed. In other words, you will know it is "worth it" before you buy because the lender will not approve financing unless the project improves the value enough to justify the loan.
Buying a property with the idea of doing the renovations yourself can really turn into a nightmare and be a total money pit (never ending costs). I would not recommend that course of action for the faint of heart. Best of luck to you.
Generally sizing up a house for renovation involves at least two people - one familiar with materials costs and labor costs, and another person - usually a real estate professional - familiar with the market the house is located in. I have to back up Mack on this one.
You should let someone else take that deal and shop for something that doesn't need much work.
PML of Longmont, CO