Buyers seeking well-appointed homes in desirable neighborhoods can often get significantly more value with a TIC. In my experience, the ownership risks are also much lower today because each TIC owner has an individual mortgage. When I started selling real estate in 2002, TIC owners typically shared a single loan on the entire building. That structure meant that if one owner failed to make their mortgage payments, all owners could be at risk. Today, individual financing is the norm, substantially reducing that risk.

I periodically review the TIC market for this blog, and it felt like the right time for a deeper dive. One ground rule: Because TICs in two-unit buildings are often valued closer to condos due to their condo-conversion potential, this update focuses on TICs in buildings with three or more units.

From January through May 2026, 120 TICs sold in San Francisco at a median price of $1.2 million. Of those, 93 were located in buildings with three or more units, and they sold for an average of 7.5% above their list prices.

TIC activity was concentrated in several highly sought-after neighborhoods where condo prices tend to be considerably higher, including Noe Valley/Eureka Valley, the Mission/Mission Dolores, the Marina and Nob Hill/Telegraph Hill.

22 TICs sold for $1.5 million or more during this period, but only one surpassed the $2 million mark: 430 Greenwich in Telegraph Hill. This two-level penthouse in a three-unit building featured three bedrooms, three bathrooms, two-car parking, and the sweeping city and Bay views shown above—not to mention a copper soaking tub and a private elevator. (Photo courtesy of Sotheby’s International Realty.) Listed at $3,295,000, the property sold for $3,470,000 in February.

Still, the majority of TIC sales—70%—closed below $1.5 million.

What’s available on the market today? There are currently 37 TICs for sale in 3+ unit buildings, ranging from an updated one-bedroom at 234 27th Street in Noe Valley listed at $699,000 to a fully renovated 3BR/3.5BA flat with parking at 3052 California Street in Pacific Heights offered at $2.3 million. (For context, the average Pacific Heights condo sells for about $3.2 million—an example of the value proposition that TICs can offer.)

You’ll also find 14 TICs in two-unit buildings. Heads up: If your goal is to buy a TIC in a two-unit building so you can fast track your way to condo conversion, make sure you know the deal with the other unit. For example, if the other TIC is a rental, that’s not going to work for immediate condo conversion.

If you’re interested in exploring TIC ownership, you’ll need to be preapproved through a lender that specializes in what are known as fractional loans. Most lenders that routinely finance condos are not equipped to handle TIC financing. So if you’re hoping to get more space or a better location than a condo might offer within your budget, it’s worth speaking with a TIC lender to understand all of your options.

Feel free to reach out at eileen@insidesfre.com if you’d like a referral to a TIC lender or simply want to learn more.

The post State of the TIC Market: June 2026 first appeared on Inside San Francisco Real Estate.

The trend accelerated during the pandemic, when more residents began working from home rather than commuting to offices. Increased building usage drove up expenses for services such as water, trash and recycling, property management and front-desk staffing. More recently, California’s insurance crisis has added another layer of pressure, causing HOA insurance premiums to soar.

The reality is that larger condominium buildings—particularly those with 20 or more units—simply have more systems, services and common areas to maintain. Amenities such as fitness centers, swimming pools, attended lobbies and on-site staff add value for residents, but they also come with significant ongoing costs.

Of the 288 condos currently on the market in larger buildings, half have HOA dues of at least $1,000 per month. And 78 of those properties carry dues exceeding $2,000 per month.

It’s not often these days that I come across a large building that hasn’t increased its homeowners association (HOA) dues steadily over the past several years to keep pace with operating costs.

The takeaway? Adjust your expectations—and your budget—if you’re planning to purchase a condo in a larger building. Monthly dues in the $1,000 to $2,000 range have become commonplace, especially in amenity-rich properties. And it’s wise to assume that dues will continue to increase over time, making future HOA increases an important part of the long-term ownership equation.

[Photo above: 219 Brannan #15A, courtesy of Sotheby’s International Realty. This one-bedroom residence at The Brannan offers sweeping city views and is located in one of my favorite South Beach buildings. Amenities include a 24-hour attended lobby, heated outdoor pool and well-equipped fitness center. Current HOA dues are $1,632 per month.]

The post HOA Dues Rise as Building Operating Costs Increase first appeared on Inside San Francisco Real Estate.

Knowing whether the home you’re buying and planning to extensively renovate is located within one of San Francisco’s “special use districts” is extremely important. These districts pop up in various neighborhoods and are designed to ensure that renovations or new construction fit in with neighborhood context or historical character.

For example, any major renovations for properties on the East Slope in Bernal Heights must be approved by the Bernal Heights East Slope Design Review Board. This group was formed in 1986 and has extensive renovation guidelines for homes in that part of the neighborhood. Failing to review those guidelines may result in a few surprises once you close escrow and attempt to start, say, your new rear addition.

Bottom line: Do some basic research before you commit to purchasing a property that will involve extensive exterior renovations. A good place to start is the Planning Department’s Property Information Map. You can plug in an address and review all the details about the property, including whether it’s in a special use district or if there are any historic preservation limitations.  It’s better to get a basic sense for the hoops you’ll have to jump through before you buy to renovate.

San Francisco residential development comes with its quirks, hurdles and bureaucracy. Navigating a special use district ahead of time—and working with a knowledgeable, experienced Realtor like me can save you a massive headache and lots of money.

[Photo courtesy Corcoran Icon Properties]

The post Check “Special Use District” Before You Buy To Renovate first appeared on Inside San Francisco Real Estate.

So here’s the latest, based on sales data over the past three months (March-May 2026), which best reflects current market activity:

More condos are selling—and for higher prices. A total of 694 condos sold during the period, representing a 14% year-over-year increase in sales volume. The median sale price reached $1,370,000, also up 14% from the $1.2M median recorded during the same period in 2025.

Average price per square foot is rising. The average condo now sells for $1,170 per square foot, a 13% increase from last year’s average of $1,036.

Drill down: Here’s a quick look at how the most popular condo categories did:

1BRs | 183 sold | $800,000 median price

2BRs | 303 sold | $1,450,000

3BRs | 165 sold | $2,210,000

Most condos are selling for above list price. What do condos in the city’s northern neighborhoods and District 5 (Noe Valley, Eureka Valley, Cole Valley, Mission Dolores and Ashbury Heights) have in common? They typically attract multiple buyers and sell above list price.

Of the 694 condos that closed during the period, only 288 sold at or below asking price. The remaining 406 sold for more than list price, including 116 units that traded for 20% or more above asking.

Among the standout sales was 2468 Broadway, a 4,000-square-foot, three-level condo with sweeping Bay views that was listed in May for $3,995,000 and sold all cash for $7M (photo above courtesy City Real Estate). Another notable sale was 3881 20th Street #3, a 1,528-square-foot, three-bedroom, two-bath condo overlooking Dolores Park. Listed at $1,795,000, it ultimately closed at $2,825,000—57% over asking.

Downtown remains mixed, but Mission Bay is gaining momentum. Most of the condos that sold at or below asking were concentrated in larger buildings located in the Financial District, South Beach, Yerba Buena, SoMa and Mission Bay.

Mission Bay, however, continues to trend upward thanks in part to its proximity to major AI employers. Increased demand from AI employees has helped push the neighborhood’s median condo price to $1,350,000, up from $1,168,000 a year ago.

AI is powering the luxury condo market.  Yes, this is where the AI money comes in. 56 condos sold for $3M or more, and 26 units closed for 20% or more above list–with eleven selling for a dramatic $1M or more over asking.

We have some inventory to work through. There are approximately 460 condos on the market as of this writing, with an average list price of $1,527,000. More than half of these condos are in buildings with 25 or more units. But 200 condos are in contract with an average list price of $1,221,000.

The bottom line: San Francisco’s condo market has clearly regained momentum. Buyers are more active, prices are climbing and competition is returning—particularly in desirable neighborhoods and at the luxury end of the market. Though there’s still inventory to absorb in some larger downtown buildings, the combination of rising demand, improving values and AI-driven wealth entering the market means that condos are likely poised to hold their own in the second half of 2026.

{All data courtesy of the San Francisco Multiple Listing Service]

The post SF Condo Market Report: Spring 2026 first appeared on Inside San Francisco Real Estate.

Preparing the home for market took a more thoughtful approach than the usual paint-and-stage formula. We worked with the seller’s existing furniture and carefully styled each space to resonate with today’s buyers, highlighting two spacious bedrooms, flexible office/guest space and a lower-level family room with exciting expansion potential.

The strategy paid off: Listed at $2,195,000 and sold for $2,400,000 with a two-week close.

Congratulations to both the buyers and sellers on a smooth and successful closing!

The post Just Sold: Forest Hill Extension Designer Home first appeared on Inside San Francisco Real Estate.

We’re consistently dealing with insurance challenges in real estate transactions these days in San Francisco, even though our city doesn’t have the same level of rural fire risk. The reality is that insurers are balancing their exposure by putting many policy limitations in place statewide. This is leading to coverage refusal for various reasons—older construction, outdated electrical/plumbing, and older roofs, to name a few.

When traditional insurance companies refuse to cover a property, the go-to (temporary) option is the California Fair Access to Insurance Requirements (FAIR) Plan. Established in 1968, the FAIR Plan is a syndicated fire insurance pool comprised of all insurers licensed to do property/casualty business in the state. The Plan issues fire policies on behalf of its member companies, and each of the latter participate in the profits, losses and expenses of the Plan in proportion to its business market share in the state.

The FAIR Plan is not supposed to be a permanent insurance solution. However, until things change in the insurance industry, the Plan may be more than temporary for many properties that are considered to be high risk when it comes to fire.

What’s important to know is that you need what’s called a Difference in Coverage (DIC) policy if you want comprehensive insurance. This policy covers items such as liability, theft, and water damage.

The FAIR Plan won’t cover homes worth $3M or more, which is notable if you’re planning to buy that baller mansion in wine country. But for the average San Francisco home, there will be coverage. A recent example is the three-bedroom, 1,400-square foot Outer Richmond single-family home built in 1941 listed for $1.2M that my clients were considering purchasing. We got a FAIR Plan estimate for $632/year, and the DIC policy was in the $1,500/year range.

That being said, the latest is that buyers won’t be able to get a DIC policy if a property has an older roof or knob and tube wiring. Coverage would be available pending a roof replacement or knob and tube removal within a certain amount of time after close of escrow—similar to many insurers’ underwriting guidelines.

My advice: ​Exhaust every option with conventional insurers before going the FAIR/DIC route. The good news is that some out-of-state insurers are beginning to re-enter the California market as they see new opportunities.

​If you’re buying or selling in today’s market, insurance needs to be part of the conversation earl​y—not after you’re already in contract.

The post The Facts Behind The FAIR Insurance Plan first appeared on Inside San Francisco Real Estate.

We’ve seen 71 homes close for at least $1 million over the list price from January through May 15. March accounted for 14 of those sales, April added another 31 and the first half of May contributed 16 more. At this pace, May could easily surpass April by month’s end.

More than half of these outsized overbids were all-cash purchases. And the list prices most likely to generate massive bidding wars were concentrated in the high-$1M to low-$3M range.

That said, it’s important to keep the broader market in perspective. A total of 733 houses sold during this same period, meaning these $1M+ overbids accounted for just under 10% of all sales. In other words, more than 90% of homes sold without reaching these extreme overbid levels. If you’re shopping for a house in San Francisco, chances are you won’t encounter this kind of competition most of the time.

Which neighborhoods are seeing the most of the eye-popping overbids? Here’s the breakdown:

The post How’s the SF Market House Doing with $1M+ Overbids? first appeared on Inside San Francisco Real Estate.

#302 has an open, airy floor plan with a bright great room, floor-to-ceiling windows, remote-controlled Levolor shades and a private terrace. The chef’s kitchen is equipped with Studio Becker cabinetry, a movable island with breakfast bar, Caesarstone countertops, Thermador gas range and built-in oven, Bosch dishwasher, Sub-Zero refrigerator with wood panels, and a wine refrigerator.

The spacious, Bay-facing primary suite also features remote-controlled Levolor shades, two closets including a walk-in and a spa-like en suite bathroom with Italian porcelain tile, a Victoria + Albert soaking tub and a large separate tiled shower.

Down the hall, two additional bedrooms offer custom window shutters and ample closet space, accompanied by a second full bathroom and an in-unit laundry closet with Bosch washer and dryer. There’s also a convenient entry hall with two large closets and powder room with designer-inspired wallpaper.

Built in 2016, LuXe is a coveted building with amenities including a grand lobby with front desk attendant, community room, outdoor patio, bike storage, and guest parking. Ideally located near premier Polk Street shopping, dining, cafes, Bi-Rite, parks, fitness studios, public transit, and North Bay freeway access. List price is $2,800,000.

We’ll be showing this special home by appointment, so please get in touch if you’d like to schedule a time to visit.

And check out our property Web site here for full photo gallery, floor plan and more details!

The post Off-Market Exclusive: 1650 Broadway #302 first appeared on Inside San Francisco Real Estate.

Maybe you have that job relocation possibility in Denver? Or you’ve owned your house in the Sunset for the last 25 years and would rather be living in wine country? There are plenty of reasons you might be considering a big move, and I’m here to tell you that you should take advantage of the market while it’s still in your favor.

If your property requires any type of compromise, buyers are much more willing to make one (or three) in the current market. What are some compromises that buyers in the current market may overlook?
– No parking, or tandem parking with one or more cars
– House with no yard or outdoor space—or one that backs up to a restaurant or school yard
– Location that’s not near retail or public transportation
– Situated on a high-traffic street, or transportation line
– Condo with particularly limiting HOA restrictions (pets, rentals)
– Awkward floor plan
– Low curb appeal that can’t be easily helped (I’m thinking faux stone, or starters)
– Ridiculous amount of stairs at the entrance
– Older building with no heat
– Multi-unit building with low rents and deferred maintenance.

I could go on. But you get the point. Give me a shout (eileen@insidesfre.com | 415.823.4656) if you’re ready to talk about your property’s value. I can craft a custom marketing plan that will win over home buyers and convince them that they can work with whatever objections they might have.

The post Sell Now If Your Home Calls for Compromise first appeared on Inside San Francisco Real Estate.

The Department of Building Inspection (DBI) is changing the maximum flush volumes and flow rates starting on May 15, 2026. Homeowners need to make sure they’re in compliance with the new requirements by the time escrow closes.

Here’s a quick rundown on what’s about to come into play later this month:

Showerheads and faucets

• Must have a maximum flow rate of 1.8 gallons per minute
• Previously allowed 2.2–2.5 GPM fixtures will no longer be compliant

Toilets

• New maximum flush volume: of 1.28 gallons per flush
• Previously compliant 1.6 GPF toilets must now be replaced

Sellers may request an exemption from replacing a toilet if doing so would compromise the historical integrity of the building. Exemptions may also be granted for showerheads required for medical reasons.

These changes will result in higher costs for sellers who may need to replace their toilet bowls and fixtures. Best to get ahead of it and have your water conservation inspection early in the sale process. And take it from me:  If you have a more complicated toilet setup that doesn’t meet the latest requirements—for example, a wall-mounted toilet—I highly recommend switching it out before you go on the market.

The post New SF Water Conservation Rules Start on May 15th first appeared on Inside San Francisco Real Estate.