I am amazed by some of the photography we see on MLS - the things agents put out there without explanation and for no good reason, other than, of course - full disclosure. But in this case, I must ask myself, "Why?" How is this even considered a bathroom? Did no one think that this might be an issue? At first I thought maybe it's still under construction, like this website - but it appears to be what the flipper/homeowner/someone intended.
It is an agent's responsibility to convey to sellers any condition that we observe that could impede the sale of their property. I assume that the agent at least mentioned this being an unworkable situation, and I know that just because we offer our advice and opinion doesn't mean a client will take it. In a case like this, I think I would have to suggest that the seller find another agent.
Because one must wonder... if a bathroom looks like this, what does the stuff we CAN'T see look like? It's highly doubtful that a licensed plumber did this. Was any electrical work done during this "renovation"? If so, was it done by a licensed electrician? In what other ways did poor planning or lack of proper funds for the flip impact the integrity of the house?
I have talked with many buyers who purchased a "lovely" flip - "it was beautiful" they will say. "We fell in love!" ... and then. The sewer collapsed and there were additional issues - to the tune of $12,000 in repair. The electric panel wasn't updated to accommodate the new appliances to the tune of $2000 in repair, and the list goes on.
If you are buying - even a brand new house - GET IT INSPECTED. Inspect everything! If the house is older, spend a few more dollars for a pressure and leak test on the plumbing. Do not ever assume that because it looks pretty, it has been fully updated. What you can't see CAN hurt you. And conversely, if you are shopping for a place and you encounter a scene like this, take it like a neon sign that says "RUN"!
Nothing is perfect, but it's okay to demand that at the very least, the functionality of the house is not flawed or somehow dangerous. So when you're ready to buy, set aside extra cash for thorough inspections of the property. It could be the best money you ever spent. And those who are thinking to sell? Be pro-active and get an inspection. Find out ahead of time what MUST be done to ensure a smooth sale and fewer problems when the time comes.