Bankrupt Detroit is attracting thousands of investors and bargain hunters angling to get the best bids on abandoned or foreclosed homes, and a bidding war via the city’s online auction site has grabbed national media attention.
A Detroit “fixer-upper” reached a record bid of $135,000 before the bidding war caused the auction website, BuildingDetroit.org, to crash last week. A local DJ says he won the house fairly before the site crashed and he will sue to get it. But the house is going back on the auction block Friday.
But the city plans to move ahead with putting that house up for auction again Friday.
Mayor Duggan hopes 115 Chicago St. and other properties like it will lure more people to the city, and bring life to long-abandoned homes.
The city now has about 84,000 blighted homes, and plans to auction off 32 salvageable properties every weekend day through June 21. Interest is intense, with 6,000 registered bidders on BuildingDetroit.org.
Before last Friday’s auction, the highest bid was for $87,100 on a another fixer-upper in the Woodbridge neighborhood. The cheapest home was sold for $5,100 and it was a 3-bedroom, 1.1bath brick colonial on the city’s east side.
So far, 22 homes have been sold this way for a total of $720,700. The average price for a home is $34,319.05.
This article was originally published on Trenderfly.com.