Buyers looking to purchase a home in San Francisco in the $500,000-$650,000 range can have a difficult time finding a suitable property. Not only is there a lot of competition in this price range, but even a 2 bedroom, 2 bath condo with parking in most sections of town can be in the $750,000 price range-even in this market.

One strategy I’ve used successfully with several buyers recently is to have 2 people get together and buy a duplex, or what we call in the city a 2-unit building. Generally I am looking for two partners who are pretty much at the same stage in life, have a desire to own their own home in a cost effective manner.

Let’s look at the advantages.

• Buildings can often be purchased using an FHA loan with as little as 3 ½ % down.

• 2-unit buildings are eligible for inclusion in the Fast Track Condo conversion process, which provides immediate equity appreciation upon completing the city condo process.

• Currently there’s a nice supply of these type properties in the city providing a cost effective way for purchasing a 2 bedroom, approximately 1,000 sq ft place with parking in San Francisco for between $500,000-$650,000.

Here’s just one example:

Right now there is a 2-unit property on the market located in the Inner Richmond. It is near Golden Gate Park, the beach and other recreation areas, close to good shopping and dining. The building has been extensively remodeled, newer kitchens, plumbing, electrical systems. Each space has 3 bedrooms, 3 bathrooms, parking, nice back yard. These are large spaces in a good neighborhood. One of the unique features of this property is that each space has 2 master suites. The top unit should sell for around $650,000 and the bottom unit for $625,000.

If you have any questions about using this perspective to acquire a place to live in San Francisco, you can send me an e-mail and I’ll provide a prompt answer.

Posted By: Bill Wygant