Opinion re pricing a house that has been demoed to the studs vs pre-demoed

[Scott Polisar]

I have a house in Brooklyn NY that had flood damage.  After a week of demo, the interior was taken down to the studs. 

Before demo, I had (still have) two direct buyers (not investors) who had agreed to my price as long as part of the insurance $ for rebuilding is deducted from the price.  I'm now wondering if the house is worth more now that it's demoed to the studs. It is common in the specific area for buyers to fully renovate with high end finishes. 

Does anyone have experience with communities in which buyers typically do whole house renovations?  (Mostly older but nice homes.) Is it common to sell at normal market value or reduce it?

I appreciate input from experienced rehabbers and flippers.

Scott