Buying a R-3 Zone SFH with Permit for 4 Town Houses In Fremont

[Shopitha Kumar]

I am a newbie and wanting to buy our first home in Bay area. I am also interested in learning about Real estate investments in Bay area market. We are looking at Duplex and Fourplex as that could reduce the monthly cost !! 

While looking I found this interesting property in Fremont. It is Single Family Home with more than 10000Sqft. But it is R-3 Zoned and they have permit to build 4 Town houses . its listed for $1.12M. This property keeps going into Pending and comes back to market (happened 3 times).

1) What are the things to know when buying a R-3 Zoned land and building a house to your liking ?

2) Is it easy to get bank loan for such venture for someone whos primary income is through their full time job ?