Interesting Off Market Oppurtunity

[Scott Justynowicz]

The woman that lives next door to my parents is finally thinking of selling her house. We have been neighbors for 30 years. The houses are identical, except for the dormer we have on ours. The kick is that everything in the house is original. I'm talking 1950's original. From the street its a knock it down and start over job. But the investor in me isn't so quick to dismiss other avenues yet. Updated houses in the neighborhood list in the 500k-750k area depending on their state and amenities. 

All that being said, how do I proceed? Appraisal, Engineer and Contractor to asses condition, current value, and possible repair scope?

Thank you for any input!