The property you are asking about was a bank repo. I actually showed that to some investor clients a couple of months ago. It is in terrible shape and needs tons of work before it would be deemed livable. For this reason I would guess that the person with the contract on it is an investor that is going to fix it up and either rent or re-sell it. Getting financing for a home that is not currently livable is tricky and requires a lot of cash to put down and the ability to prove how you will fix the home. Not for the faint of heart!
If you would like me to email you a copy of the MLS sheet for this property, email me at firstname.lastname@example.org and I will get it out to you. Feel free to contact me directly if you have questions.