Analysis/Discussion purpose: How to Flip profitably

Bay Area
1

Here is the house, location good, lot size big, near by Google New Complex.

https://www.redfin.com/CA/San-Jose/1220-Curtiss-Ave-95125/home/1251986

This was listed 1.798 (1.8M) no buyers, they reduced low listing 1.38M, but originally bought at 1.61M. The seller is not going to sell anything less than 1.61M (1.05) = 1.69M assuming 5% commission.

This is not livable, but add-on (remodel) or tear down are mandatory. If a buyer is getting at 1.7M, how does he make profitable?

Near by sales prices of new built homes are going at $800/sqft (lowest) to $900/sqft (highest) range

2

Appreciation.

3

The lot is huge for the neighborhood.

What is the entry price into the neighborhood?
What is the after value for a professional remodel of a starter home in this neighborhood?
What do the new construction spec homes go for? How big?