I often spend more time than I should on Zillow, fantasizing about building a real estate empire. With Detroit’s bankruptcy, I started wondering if the city might ever recover or if it was destined for more economic downturns. I remember first looking at properties in Flint after Michael Moore mentioned in one of his movies that the real estate market there was in crisis. That was around seven years ago, and there hasn’t been any sign of improvement since.

If you believe that real estate values will eventually increase, or at least that the land itself might gain worth, then grab a $100 bill and go buy a house in Detroit! Here’s a house I found after just two minutes of browsing. The estimated mortgage is $0, but you’ll notice the owner bought it for $600 eighteen months ago and is now taking an 83% loss. The property clearly needs a lot of work, or maybe even a complete tear-down. Just getting a new front door would cost more than $100! It’s surprising that these houses aren’t selling for at least the cost of construction. In places like Guatemala, people would be tearing them down and selling any usable materials.

There are plenty of properties available for under $1,000. If you’re willing to spend a bit more, you can find a charming little brick house with a nice garden for $1,250.

For many readers in New York or California, that’s less than one month’s rent! This particular house looks pretty cozy and is in much better shape than the $100 one. If you could rent it out for $200 a month, it would pay for itself in six months. But are there even tenants left in Detroit? If I had to live there for any reason, I’d definitely buy a house. Even as a student, purchasing the $1,250 house and living there for five years of college would mean spending just $20 a month on accommodation. If you need cash for a down payment, you might qualify for a title loan and get your cash quickly.

Then there are the taxes. Detroit is bankrupt, so for the few taxpayers still there, taxes must be sky-high. Plus, the heating bills during those long winter months would be much more than $20.

I also wonder where all the people have gone and if the neighborhoods feel like ghost towns. Check out this house—it’s really nice and quite pricey for Detroit. There are still chairs on the terrace, a car in the driveway, and a well-maintained garden. With all the stonework, brick chimney, and tile roof, the material costs alone are worth much more than $17,900.

Update: Here’s a house listed for just $1. It’s been on sale for two years. Sorry if I tried to sell you on more expensive options earlier!

Would you consider buying a $100 house or a cheap foreclosure as an investment?