Lesson Learned - Why is this house so cheap?

[Ralph Stowe]

I thought I would share an experience I had yesterday in hopes of helping others out.  

Yesterday I'm browsing the local MLS scouting for deals (Why not, right?). I stumble across this house that looks really great from the outside. Maybe the shutters need painting and a little bit of railing work but nothing much. It was only built in 2005. Roof, windows and siding look great. The neighborhood ranges $245-280k. Why is it listed for $209k? Listing says "Cosmetic repairs only" so I'm thinking, "Carpet, paint, maybe a drywall patch here and there?" No inside pics. Hmm.. So I call my realtor friend to go check it out. Was it a full gut? Did someone run a puppy pound in there? No. It was something else. The ENTIRE downstairs was tiled like this (see photo). Kitchen, foyer, bath, bedroom, family.... EVERYTHING. There's nothing wrong with tile, its actually nice tile. Just the install job ruined the house! The tile wasn't even flat, or evenly spaced. No quarter round on exterior walls either. The house is 2400 sq. ft. How much to demolish? 1,200 sq. ft.? on a 3/4" particle board subfloor? Then even it out and put something respectable down? Probably $8-10k alone. There was also an illegal amateur screen porch built around the deck. Knowing the building codes, it would have to be demolished. The 2 car garage was also full of the previous owners junk. So the lesson, if there's a price too good to be true and no interior photos, there is a reason for it! I hope this helps someone else.