These items are not all that important when you look at just one item, but when you add them all up, it sounds like this house is in a major state of disrepair. The purpose of the housing code is to prevent properties from staying in disrepair, and from lowering the overall value of homes in that city.
As for the basement bathroom, obviously you'll need to talk to the city, but in just about every case they'll let you abandon the project as long as any loose ends are tied up. For instance, no wires hanging out, not uncapped waste pipes, no water supply pipes hanging out... etc.
Will you be getting involved with a hard to please inspector? Doubtful... but if you can't afford to do things like removing the dumpster from your yard and fixing the rest of the exterior eyesores... well, then you can't afford the repairs.
I'm sure the stuff that you find less important is the only stuff that matters to your neighbors, and that's what housing inspections are all about.
I'm helping a buyer with a bank owned property as we speak. Of course, there is a long list of repairs that comes along with the purchase because the property is sold "as is". Work directly with the inspector or the city. Most of the repairs are items that you can complete or do it yourself type of repairs.
Buyers are given between 60 - 90 days to complete the repairs after the closing. Some cities require that you escrow your repair costs and some don't. After you complete your repairs, call the same inspector that did the initial inspection for a re-inspection. If you have done all the work and met all the code compliance, then the city will issue you a Certificate of Approval or a Certificate of Code Compliane. Happy home ownership!!!
Two of the main reasons are to correct code violations and from what you
are describing in in your case, inspection and city-ordered repairs to protect the quality of the city's housing stock and therefore, protect the city's home values (read: protect their tax base).
The municipality may require you to perform these repairs prior to closing, prior to occupancy or may require you to escrow money for any repairs that are not completed prior to your closing.
The best resource for this information is the city itself. There should be a contact number on your repair list. We recommend that you be in touch with someone from the city that can respond to your concerns with some accuracy.