As someone who has had a few rusty old cars, LISTEN TO BLUNT. Hard to see exactly how bad it is from the pics you posted, but if it's really rusty, drive it around (because a POS is more fun than nothing), and save up for a clean chassis from a dry state. That's what I'm doing right now with my 240z.
If you've got the fab skills needed to fix it, go for it, but if not, don't bother trying to fix it.
If you've got the fab skills needed to fix it, go for it, but if not, don't bother trying to fix it.

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