The three biggest costs of selling include the broker commission, staging, and transfer tax. Other seller costs include property prep (painting, repairs, upgrades), and inspections, many of which are city or state mandated.

Staging is one of the most important things you can do in order to get the highest sale price for your home. It also matters which stagers you use. The cheapest stagers won’t have the inventory that helps to show your home in the best light. Our typical stagers have a minimum fee of $6,500, which is a reasonable cost for a 2 bedroom, 1 bathroom property under 1,000 sq ft. The average staging cost in San Francisco is closer to $12,000-$15,000 and covers a period of 60-75 days.

The transfer tax rate for the city and county of San Francisco, payable upon transfer of real property, is calculated as follows:

More than $250,000 but less than $1,000,000: $3.40 for each $500 or portion thereof

$1,000,000 or more but less than $5,000,000: $3.75 for each $500 or portion thereof

$5,000,000 or more but less than $10,000,000: $11.25 for each $500 or portion thereof

$10,000,000 or more but less than $25,000,000: $13.75 for each $500 or portion thereof

$25,000,000 or more: $15.00 for each $500 or portion thereof

Currently, not all TIC properties have the legal possibility of condo conversion. Until 2024, condo conversions can only happen if the TIC is in a 2 unit building where no prior evictions of protected tenants took place.

Buildings with more than four residential units are not eligible for conversion. Buildings with 2-4 residential units may qualify for conversion two ways: (i) automatic (lottery bypass) qualification for two-unit buildings where each unit is owner-occupied be a separate owner; or (ii) the annual conversion lottery, which has been suspended but is expected to return beginning in 2024, 2025 or 2026.

Two unit buildings with a clean eviction history bypass the conversion lottery if both units are occupied for one year by separate (unmarried) individuals who each own at least a 25% interest in the property during the entire occupancy period. This exemption from the lottery is also applicable to mixed use buildings having no more than two residential units, both of which are owner occupied.

San Francisco’s condominium conversion lottery has been suspended. The lottery will resume in 2024, 2025 or 2026. When the lottery returns, it will be open to 2-4 unit buildings in which all but one of the units have been owner-occupied continuously by the same owner for at least three years.

Owners of qualifying buildings must submit an application package to the City. The major components of the package are:

Inspection: Before submitting a conversion application, you must request a City inspection by mailing in a form and the required fee. The receipt for the inspection fee is part of the conversion application, but you need not have had your inspection in order to submit the conversion application.

Survey: Conversion requires a survey or “condominium map” prepared by a licensed land surveyor which locates the boundaries of the property and footprint of the building. The map and plan take 3-6 weeks to complete. (Note that the surveyor will also prepare unit diagrams, which show the location of the condominium units and other private areas, but the unit diagrams are not part of the City application package.)

Occupancy: Owners or renters needing to prove occupancy must sign a sworn statement. Owners must also provide evidence they have taken a homeowner’s property tax exemption.

The package must also include a variety of other items which an attorney can help you compile.

The conversion process typically takes 12 months, and each unit will incur a $22,500 fee to convert, on top of any repairs or permits required by the City’s building inspection.

Not a problem. Once we sign an agreement and you hand over the keys, my team and I will project manage the entire sale from start to finish. You can be involved as much or as little as necessary, and you do not need to be here in person for any of it.

The general rule is, anything that is structural (moving walls, changing floor plan or the envelope), or systems-related (plumbing, electrical), you will need a permit. For bathrooms, any time you take down tile you’ll need a permit. Kitchen remodels with new cabinets need a permit. New roofs and new water heaters need a permit. New windows need a permit. Cosmetic items typically do not need a permit, such as the replacement of floors, countertops, backsplash, paint, light fixtures, hardware, appliances, and vanities that are not built-in.

I cannot stress enough that in the Bay Area Market, homes that are priced at or over market value spend longer time on market, sell for less than comparable homes, and usually have to undergo multiple price reductions in order to sell. Usually, your best chance at getting the highest price for your home is selling quickly, and pricing low enough to get multiple interested parties, resulting in an offer date and bidding war.

Your agent is responsible for all of the costs of marketing your home. This includes but is not limited to: a property-specific website, property brochures, mailers, photography, floor plan, video, 3-D walk-throughs, online advertising, paid social media ads, and any publication placements. They should also pay for the cost of any food and beverages at open houses and/or broker tours.