I think the problem with most folks who buy a fixer upper is impatience and too high expectations. I've owned one and am now renting and keeping up with one, as my landlord has no intentions of doing maintenance. The thing is with older homes like this is that they have character, are built from wood that you cannot afford to buy nowadays and are sturdy enough to have lasted this long, so why not much longer?
If you work on the important things and don't get concerned with your house looking like Better Homes and Gardens, it doesn't have to be a money pit. People have existed in far worse dwellings for thousands of years and survived just fine. I understand a young person's point of perspective...things are expensive and the only thing affordable is old houses that no one wants to put any money into, so why not buy one and at least have a starting point in life?
If you compare the cost of building a new home of much less sturdy construction to the cost of new roofing, plumbing and electrical wiring in an old, ramshackle farm house you can see why this idea is so attractive to the younger, or even older, less wealthy crowd. These repairs can be done as the money allows and one can "rough it" in the house until the repairs are complete....much cheaper than paying rent/mortgage on a place while also paying mortgage and building costs of a new place.
Who cares if the floors are uneven? Unless you are falling through them, live with it. Poor insulation? Blow some in. Faulty wiring? Try to find a retired Union Electrician...they often do things cheaper and have years of experience and even some left over equipment from jobs past. Bad plumbing? These things can be lived around and suffered past while you work out solutions.
Starter homes are just that...a starting place and doesn't have to look finished in order to be a home. You can heat with wood, plastic the windows, use screens and fans in the summer, insulate each part of the home as you can afford, put plywood over soft flooring and run all sorts of funny looking pipes and hoses to get hot and running water to your bathrooms. I've seen people live in homes that look like they wouldn't shelter a family of bats....it may not be pretty or even functional at times, but it is shelter and a home.