It's come a long way and it's still coming.Once you factor in local external influencers as well such as the Chula Vista Bayfront development (which is actually making good progress in the approval process),  I would argue that IB will only grow in demand. 

What factors did you think about when you decided where to buy?

It was easy to find a house I wanted to renovate and live in because I didn't have to factor in the closing costs at resale when I was making a decision but now that I want to do this for a profit I have not been able to find a property on the MLS that is priced low enough to make sense for a flip.

@Lawrence Eiseman There are many factors to consider: Are you buying the land to hold, flip, lease or build also what's you're risk tolerance.

I settled on a price factoring in the seller paid closing costs. 

You'll pay a balance transfer fee if you want to take out cash rather than do purchases but at ~3% the money is still basically free once you factor in inflation.

And because California is so tenant-friendly, it can be extremely difficult to evict a tenant who does something blatantly worth eviction, so good luck evicting just because you want them out.The only two options I know of for getting rid of a rent-controlled tenant are:The new owner of the property can pay one of the tenants to leave (amount is set by the city, usually somewhere ~$10k depending on different factors) if THEY (the owner) move into the unit themselves.

If it makes a positive cash flow since day 1 price is not that a price should not be the only determining factor in a long term investment.Are their any leases with the existing tenants or does it have any obligations that you would become obligated for. 

Once you go a few years out it becomes hard to project as there are too many factors that play into it.

I'm not saying don't do it, I'm just saying make sure you consider all factors and if your numbers long term are realistic.