Guesses about vacant house

[Dinsdale]

I'm curious what any of you might think will be the ultimate fate of the house behind me.

I live in an upper-middle class suburb of Chicago. The house behind me on a very large lot sold 4-5 years ago to a builder for $500K. The builder began one of those near-teardown rehabs where you leave a wall or 2 standing, as a custom home for some buyers. The builder ran into financial problems, and the deal fell through, after which the house was on the market with a price of $1.6 mill. The most recent recorded transaction was a sham at $1.6 mill, and it has since been foreclosed upon and is owned by the bank. The day before foreclosure someone backed up a truck and stripped everythiong they could - including the front door (and - I assume - the kitchen sink.)

During the course of construction, they committed a series of fuck-ups which resulted in the house having standing water in its basement most of the past 4 years. After the hardwood floors were installed but before they were finished, various animals including foxes were living in it - and shitting and pissing in it. Very shoddy workmanship (to my eye) throughout, and a really goofy floorplan - thanks to the original clients. Exterior siding was never completely stained, and has since been attacked by woodpeckers.

I'm figuring the thing is a tear down, worth only the price of the lot. Maybe $300K. But I don't see it moving anytime soon even at that price.

What would you think the future holds for this wreck?

[StGermain]

You'll buy it for the teardown and expand your lot, since you want a bigger yard.

StG

[Xema]

I'm figuring the thing is a tear down, worth only the price of the lot.
Might be worth less than the price of the lot (teardown may not be cheap). And I imagine the market for vacant lots isn't brisk just now.

[Broomstick]

It will probably stand vacant a year or two more before collapsing in on itself. This would be an eyesore, except the uncut weeds on the lot should hide most of the wreck from view.

At least, that's what has been happening in my area to abandoned houses from sheds to McMansions.

[madmonk28]

At some point someone will use the lot to either build a new home or get it rezoned so that they can use it for a commercial property. It will likely rot for a long time before that happens.

[Mongo Ponton]

I'm thinking about buying it and putting in Section 8 Housing.

[Dinsdale]

I'm just trying to figure out how much the bank has in it.
At some point, someone loaned the builder $500k to buy the old house.
Then there's a considerable amount of lumbar and concrete in it.
The last recorded transaction is a $1.6 mill sale - which I think was a sham transaction from the builder to a buddy.
But I'm wondering how much the bank feels it needs to get before they'll be happy to have someone take it off their hands/books.

[usedtobe]

Now that the bank owns it, shouldn't the tax records show the foreclosure as most recent sale? If so, that is the amount of the note (at least in CA),
A few good, old Chitown freeeze/thaw/freeze will start pulling lumber apart - is the roof present?
I would have predicted one of those fires that just kinda happen to money-losing but insured structures...
p.s. - look up adverse possession... :)

[Dinsdale]

Yeah - I was surprised it didn't suspiciously burn. Must not have been insured for shit.

Haven't seen a record updated since the foreclosure. But I don't know if it sold at that time. If the prior owner just stopped paying, wouldn't it revert to the bank with no reported transaction?