That depends on multiple factors including but not limited to the location, zoning and "highest and best use" of the land. The fact that the seller is asking for the "house" is technically irrelevant, what is relevant is what the real estate is worth for its highest and best use. The house also has a value and this may or may not exceed the land use value. In my opinion, when you refer to something as a "tear down", that actually indicates that the "land" is worth more than the "house", not the other way around (either way, you obviously feel the seller wants too much). You need a professional market analysis and/or appraisal to determine all this. A bit over an acre unincorporated (317 x 145) of residential annexable land with water/sewer available nearby closed yesterday as a matter of fact for $167500 cash with another adjacent available 1.5 acres on Middleton Av along the S of I88 just E of Yackley. Also had a "tear down" on it. Hope this helps. What does the seller want for the "house"?