Is it realistic for me to buy this fairly priced house?

if you are thinking wisely and this other house is better suited for your current physical condition I don't think there is an option to consider, no doubt you can sell what you have with some profit which will give you some leverage

the problems you mention can be mitigated easily enough and should not be your consideration, your health and physcial abilities out rank them

Your immediate issue is affordability. Get out of the house you can't afford and put aside as much of your equity as possible. I would rent temporarily in a less-stressful living environment, and when you recover to a point where you are capable of owning again, look into buying then.

No. While its pretty obvious you identify the similar house to be another project you can tackle much like your present one that you have restored, you do so in denial of your present abilities. And your present physical condition should be your priority, thus finding a less expensive property that doesn't require maintenance logically makes the best sense. Perhaps not renting, but by buying a condo, paying cash since you won't be able to secure a mortgage without a job (valid source of income).

In your situation you could be taking an action in sort of a panic rather than based on sound thinking. I would find a person that you trust to sit down and help you work out the numbers. I bet this move will not really solve any problem and be an expensive mistake.

"I am highly intelligent but it comes and goes" - Well put and I know how you feel.

In regards to the specific question you just have to weigh all the pros and cons and make the best decision you can. It sounds liike the other hosue and pluses and minuses and without really knowing the specifics we can't say which would ultimately be best for you (heck even knowing the exact specifics we might not be able to say).

This is one of those decisions I'd definiately sleep on (not sure how quickly you have to decide) and even then the right answer may not be clear - just do the best you can with the info you have.

U said u re in a bad financial situation, how can u buy anything? And if u buy a new house before u sold the old one u will be in even worse situarion. Or are u gonna foreclose the old one? Then nobody will lend u the money. Anywho if u re in a bad situation maybe u first sell the house u re living now and then u see what u can buy meanwhile living ina rental apartment