I don’t think it’s a good deal. House is small and in extremely bad condition. The discount is not enough compared to comps.
Exactly my thought. This will go around 700- 725, unless some crazies go for it.
For that matter, I do not really see any real deal nowadays except a few cases like this one
https://www.redfin.com/CA/Gilroy/1271-Juniper-Dr-95020/unit-7/home/1750538.
Rent ranges $1750-1900. Even though I visited, nice location, I stayed away giving cash offer as I want to invest in stocks than real estate (I am real estate heavy, wanted to reduce the exposure).
My general thinking on “deals” is that they mostly don’t exist. Sellers are not fools. Vast majority of houses transact at market prices.
But there are deals if you time shift. For example, if you have the foresight to buy in Sunnyvale even as late as 2015 you will be handsomely rewarded. Seeing things that way there are many deals still around. Perhaps even this Milpitas house is a deal in the sense that its price will be 1M in 2 years?
Since I am in the opposite position, please forward good deals to me 
I need to buy more RE. Good deals only. Great deals preferred. No need for average deals. Must requirements: Rectangular lot facing East, South or South-East. Of course, not near busy street , safe neighborhoods, easy access to highways but not too near , must have sidewalk
I have the foresight but didn’t pull the trigger. I look at 94087 in 2013-2014. Got distracted by life (something more important than investing in RE) after that, didn’t buy houses for a duration of nearly 2 years. When I’m ready, is 2016 
No choice, have to explore out-of-town, bought 3 SFHs within 1.5 years, all in Austin 
Will do by PM.