Case Study on Worthless Properties - Is it really worthless?

[Robert Campbell]

All - I am a fairly new investor (2 years, 3 flips, 2 wholesale, 2 rentals).  I have bought several properties on Auction.com.  I was looking around on a site I have not used before - Hudson and Marshall, and I came across 2131 Fair St Louis, MO 63107.  I put a minimum $1 bid in just to see how their system works, and what do you know, I won it for 1$, and seller pays closing costs.

Hudson and Marshall called me after and asked if I was sure I wanted this property, stating it probably needs a full tear down / rebuild, and may not be worth as much as it would cost to rehab (and I appreciate the call of course).  I told them I did not expect to actually get it for 1$ and would not have bid again, and withdrew.

My question is - is there something an investor more experienced than I could do with a property like this, or is it truly worthless?  Some kind of Ive seen worthless properties before, its just hard to fathom...