The numbers of their Senate and House representatives are in the front telephone book. They would be privy to the different programs out there. Take your time and do the repairs needed. Even if you try to sell now, the roof will probably have to be discounted off the sales price. FHA will not lend on a house that needs extensive repairs, roof included, and home inspectors for conventional loans point out deficiencies to prospective buyers.
Home ownership is a rewarding but sometimes taxing endeavor.
With today's interest rates, I cannot think of any reason not to own other than being non-financable. I couldn't agree more, and I was the one heading up the project for him. The phase of the job his friend was referring to had little downside for a mistake and was merely sweat equity for the home. Look at the many resources for do-it yourself home repair, tackle the things you feel you can, and find someone who can do the rest for reasonable rates. The good thing is these people can and will give you advise on non related projects to the call for no extra charge.