Is a Tear Down really a Tear Down?

[Elicia Fullwood]

What kind of buyer is attracted to a listing that swears the house on the lot is a tear down? Do investors pay attention to this or is this a quick way for realtors to get a sale? I literally heard this today from a contractor. "It's a tear down. Roof is coming down. Major foundation issues. House has water all in it. You don't want to touch it. I was looking at it for 2 other investors. It's a no go."  Are tear downs worth rehabbing? If not, how do investors make money from these kinds of properties?