Jared Weiss paid $70,000 for the property last month and hopes to stock it with Ali memorabilia and open it to the public, The (Louisville) Courier-Journal reported Monday.
A longtime admirer of Ali, Weiss said he met the three-time heavyweight champion briefly years ago when the boxer visited the University of Nevada-Las Vegas.
Weiss plans to spend about $75,000 to fix up and furnish the vacant building. He may hire a fundraising consultant to help solicit charitable donations to cover some costs of the renovation.
Weiss, 39, bought the house sight-unseen after finding it for sale on the Internet. The previous owners purchased the home in 1998 for $2,500.
Property records show the 1,128-square-foot house was built in 1920 and has one bathroom. The records rate the structure's condition as "normal for age."