Appraisers' Free Forum

If you are doing work on REOs that builders have abandoned, this article has some good info...

http://realestate.msn.com/article.aspx?cp-documentid=19423888

Exposure to the elements is a big risk, but not the only worry. Builders under financial pressure sometimes cut corners before finally walking away....

I have seen houses done with a roof in place that were not damaged after 6 mo. or more. Swelling of non-water resistant plywood is the biggest culprit.

But there is/was a tendency for builders to try and build themselves out of trouble by building a bigger house than the bank would loan on... I did a new const where the house was 1650 SF, but the builder modified the plans to put an upstairs (about 2200 SF) and, of course, miscalculating, he ran out of money.