How crazy is San Francisco’s real estate market in 2020?

Let's dive into a recent listing from the Inner Sunset neighborhood.

To keep my analysis and breakdown honest, the address will not be mentioned.

This small neighborhood south of the Golden Gate Park has been buzzing for years. Young professionals moving toward the family stage of life look for more space, slower pace and better schools. Yet, the majority won't give up the convenience of good food & drinks blocks away from home. This combination of needs & attributes narrows our choices quite a bit.

In recent years, businesses in the Inner Sunset target young, affluent families. From gourmet Ice Cream shops to a neighborhood kid-friendly bookstore - the area is fantastic for new families. As expected, the demand in the neighborhood skyrockets.

Breakdown of Property:

Single Family Residential
$1,400,000
Built 1967
Less than 1,000 sq/ft
2 Bedroom / 1 Bath

Recap of Property via Instagram Stories

My Recap:

I have a client looking to move back to San Francisco after 14 years in Los Angeles. Their family lives in the Outer Sunset; making a Sunset neighborhood address top priority. On paper - client is pre-approved for $1.5 million with 30% down, credit score of 780 and is a first time buyer. In any typical market, they're front runners. Our experience was a little different.

After reviewing Seller's Disclosure Package, the client happily instructs me to write the offer.

Before an offer is written, here are typical steps taken to ensure we stands out:

Step 1: Contact Listing Agent/Seller to build relationship
Step 2: State that your client has reviewed Seller's Disclosure Package & happy to sign off
Step 3: Stay in contact - ask how many offers they’re expecting based on demand for Seller’s Disclosure Packages
Step 4: Research comparable listings within six months. If a sale happened within the last few weeks, call Listing Agent and dig for performance details of the sale (most realtors, if persuaded well, will gladly share a recap of a good close)
Step 5: Help client draft Personal Letter to Seller (major influence on Sellers - rare to see nowadays)

Our offer was solid and very San Francisco: $1.45 million 30% down payment, no contingencies and 21 day close - sold “as-is”.

Little did we know, we were competing with giants. The offer stage was unforgiving. We were up against International buyers and seasoned hunters…