[thstone]

What might seem to be a valve cover leak can also be a lot of other things. The oil has a tendency to run down and drip off the valve covers and then its assumed that is the source. But it can also be other things so the actual source of the oil leak really needs to be confirmed. The valve covers can be re-sealed with the engine in the car but its a lot of work. Shops quoted me around $1200. If you can do it yourself, then there are some big savings to be had.

The price seems high for a poorly maintained car. You didn't post a link so I can't see the actual condition but based on your description, but it sounds like it needs more than just a little bit of work.

The key to making a short-term flip financially feasible is buying the car at a price so you can easily re-sell it. That means buying it well below market and then selling it at under market. For example, let's say that this car is worth $7500. I'd offer $6K and be a buyer somewhere in the mid-$6K's. Then you can flip it for the high $6K's and the next buyer will still be getting a good deal (since the car is worth $7500).

How do you get someone to sell you a $7500 car for $6500? Find all of the problems and explain how the car needs $4000 worth of work. Find a seller who is motivated to get that hunk of junk out of the driveway. Negotiate your ass off.

And I wouldn't put any money into the car (unless its absolutely needed) because you will be hard pressed to get the investment back out at re-sale.