Almost certainly.
I could likely get one of these houses with a lowball offer for well under $200K and the lots on surrounding streets are selling for $300K plus because everyone wants to live in this area.
It sounds like this isn't your home you want, but one you want to make money on.
If that's the case, the gamble is clearly worth it, IF you have a fully inspected home, and trust the hell out of the structural engineer (I would get multiple people to assess, but that's just me). If you can make 50-100K it will be worth it. If you have that type of wiggle room, when accounting for 20k (I would probably double the highest estimates to be safe when planning, if it comes out better than that, all the more money too you) then I think it's probably worth it.
It would enable you to get a huge head start financially on your life, and put you in a much better home in/around the area you want to live for at least the foreseeable future. If you feel you can clear 50+ thousand accounting for double the financial headaches, I would go for it, but I would drastically overestimate the amount of money you expect to pay in fixing things. If it actually sticks to estimates, you will be well off, but if it doesn't, and a worst case, or near worst case scenario happens, then you are still in a space you feel comfortable working in.