I used to own a P26. Every 2-3 years when I hauled out for new bottom paint I would sand the bottom, pop the worst blisters, let them dry a few days, fill with thickened epoxy, fair, & paint. Never a problem. Usually I had to touch up the cast iron keel in places, too. Still no problem. I mean, the rest of the time I was sailing, right? It's not like I ever thought the boat was going to sink from under me.
Now, as far as the rudder play, that was a fairly tricky one-time fix. On my boat, the rudder shaft was aluminum and had worn down where the plastic bearings rode on it. I had to pull the shaft and the bearings, then used an etching solution on the shaft to prep it. I applied vaseline *liberally* to the inside of the bearings, built up the worn spots on the shaft with thickened epoxy, then slid the greased bearings onto the shaft as a kind of mould for the epoxy. After the epoxy set I broke the bearings free and re-installed everything. Lasted as long as I owned the boat. And it was a great little boat, too. Just one thing, if it looks like you're getting into rough weather, don't hesitate to put in the bottom companionway hatchboard. The combination of no coamings and a low companionway sill can be a little disconcerting if the boat gets laid over.
Now, as far as the rudder play, that was a fairly tricky one-time fix. On my boat, the rudder shaft was aluminum and had worn down where the plastic bearings rode on it. I had to pull the shaft and the bearings, then used an etching solution on the shaft to prep it. I applied vaseline *liberally* to the inside of the bearings, built up the worn spots on the shaft with thickened epoxy, then slid the greased bearings onto the shaft as a kind of mould for the epoxy. After the epoxy set I broke the bearings free and re-installed everything. Lasted as long as I owned the boat. And it was a great little boat, too. Just one thing, if it looks like you're getting into rough weather, don't hesitate to put in the bottom companionway hatchboard. The combination of no coamings and a low companionway sill can be a little disconcerting if the boat gets laid over.