Sold: 1601 Pacific Avenue #204

Offered at $1,348,000
Sold for $1,500,000
Buyer Represented

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What’s wrong with TICs? In a nutshell …

Well, really not all that much. Let me break it down for you …
Your regular lender will not lend on a TIC. You need what is called a “fractional” loan, which is similar to what is used to buy a Co-op in NYC. For this, you need a special lender – there are several. Sterling is my go-to, Bank of Marin, NCB, Bank of SF to name a few. Please ask me for a referral.
TICs are really very similar to condos on a day to day basis. The legal difference is that the condo is an official subdivision creating separate legal title, while a TIC represents a percentage undivided interest in the whole property with a legal contract that says who can use what. More info on exactly what a TIC is here.
The disadvantages of TICs are:
  • need the fractional loan which has an up front charge of 1% and only available 3/5/7 year fixed ARM (30 year term).
  • escrow will be a little longer – fractional loans take time to process
  • there are no downpayment options below 15%
  • fully subject to rent control if you move out and rent it. More info on rent control here.
  • you will want to condo convert if you become eligible. This is a + because the value will go up and a – because you have to go through the process which is pretty extensive and work with the city/lawyers/surveyor, etc.
The advantages of a TIC are:
  • usually between 10 and 25% less expensive for a condo with exactly the same functionality and livability. This is mostly because of perception and may or may not even matter to you. The wide range of difference between 10 and 25% mostly depends on the ease with which you can convert to condo which ranges from very easy to, well, maybe never. More info on Condo conversion here.
  • Potential upside from condo conversion
  • If you start your own TIC (by buying a multi-unit building that has never been one before and dividing it up yourself with your partners/lawyer) you can create significant value and also obtain an un-remodeled place you can use to create even more value. Most people do not choose this option.
The advantages of a condo are:
  • You can use any lender
  • You are exempt from the rental increase provision of rent control – meaning you can raise the rent whenever a lease ends.
  • Condos built before 1978 are still subject to the portion of rent control that protects tenants from eviction – meaning you can’t just ask someone to leave because you want to sell it for example.

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Perfect Pitch in Dogpatch

1275 Indiana Street #404,
San Francisco California

>Offered at $1,198,000

Click here to Request a Showing
Click here to Download Disclosures (Coming Soon)

Showing schedule:

Private showings by appointment
Offer date to be determined.
  • Two bedrooms/two full lux baths
  • Unit faces courtyard/water to the east
  • Top floor with massive skylights to let in all day sun
  • Oversized living/dining and open kitchen
  • Balcony with Central Waterfront and courtyard views
  • True cook’s kitchen with Bertazzoni range
  • Ample closet space with custom organizers
  • Designer lighting and gas fireplace
  • Quick access to 101, 280, CalTrain station and 3rd Street Rail
  • Walk to work: UCSF at Mission Bay, Zuckerberg SF General & Kaiser campus’s
  • Laundry in unit
  • 2 car garage parking
  • Year built: 2014
  • Square footage: 1,069 sq. ft. per tax record
  • HOA Dues: $499

Dogpatch is just, you know, cool. It always has been. Housing here ranges from Italianate Victorians to architecturally significant brick and timber conversion lofts. Restaurants range from cutting edge to artisanal to homey and jobs range from brain surgeon to craftsman. While there is plenty to do here, it’s also easy to work in the Peninsula, with one of the two SF CalTrain stops right here, get on a freeway or take the T downtown (or to the Giants game!). You can find people from literally every milieu here with one thing in common. They are glad to be right here.

1275 Indiana #404 is the best that Dogpatch has to offer with location, awesome floor plan, stunning design and two car parking. It is a rare resale of a top floor view unit on the quiet side of the building. The two spacious bedrooms and living room with gas fireplace and patio all have views to the east over the courtyard to the San Francisco Bay. You can see ships moving in and out of the south harbor and see the sun rise over Mount Diablo. The chef’s kitchen has generous counter and cabinet space as well as a striking high end Bertazzoni gas range. The prior occupant was, in fact, a Chef at nearby Piccino and put the kitchen to use frequently in designing new dishes. Perhaps you will do the same! The over-sized dining room will easily fit a table for 8 friends awaiting your creations. If you are looking for that San Francisco residence that checks all the boxes, this may be the one!



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A few words about equity sharing programs …

Last year, Mark Zuckerberg got a lot of press for his “philanthropic” funding of a company called “Landed” to help “teachers buy houses.* It is a good idea, but it is not philanthropy to co-invest funds with a home buyer in exchange for a portion of their future equity. There are few better investments than Bay Area real estate, with an 20 year average return on a 20% downpayment of 1104%. Yes, I double checked that number a bunch of times. There has been an 1104% return on the 20% downpayment of an average priced bay area home since 1998 – even more in some.

A while back, many communities recognized this was a way to have a win-win for their pension funds and other public moneys and started programs like the SF Mayor’s Office of Housing’s (“SFMOH”) Downpayment Assistance Program (or “DALP”), which co-invests with people of moderate income to buy homes. The San Francisco program was recently expanded up to $375k per purchase, which has given potential buyers a real chance to obtain homes in the community in which they work. I have had a number of clients take advantage of this and it’s a wonderful program.

All of these programs provide assistance as part of a downpayment on the purchase of a home – usually for a 1st time purchase of a home and don’t have any payments until the home is sold. The MOH program has a 30 year term, meaning you could live for probably the rest of your life, or close to it, with no payments on this loan. The city would just let you live in their share for free and take their % of the home’s value when you sell it.

The biggest difference is that the San Francisco MOH program wants a return of a an equal amount of equity and the commercial programs (including Zuckerberg’s “philanthropic” program) want a much higher return. A simplified example (I am omitting incidental costs of sale to keep the numbers round) – the Mayor’s Office of Housing buys 10% of the house for the buyer. They buy the home for $1,000,000 and use $100,000 of the City’s money. They sell it (or refinance it) in 5 years at a time when the home is worth $1,300,000. The SFMOH will want 10% of the new equity in the home plus their original capital, or $130,000. This is a 30% ROI for the City. If the home was sold for the same price as it was purchased for, the city would just get their original investment back of $100,000.

Another commercial player in this space is Unison. In exchange for a 10% downpayment, Unison wants back 35% of the gained equity in the home. Taking the example above, if a buyer tapped Unison’s resources, Unison would want back $105,000 out of the $300,000 gain over the three years or a 205% return on their original investment.

The Zuckerberg “philanthropic version would take a 25% cut – less than Unison – but still a hefty $75,000 or a 175% return on investment.

Two differences on the side of the commercial players are that they are willing to share in the downside of the market – if you lose money they share that too – whereas the MOH program does not offer that; and that these funds are available without the annual lottery or homebuyer education requirements of the MOH.

Here is a summary of the programs and how they work with links to get you started:

• Mayors Office of Housing (MOH) DALP – Downpayment Assistance Loan Program

• Silent second loan that requires no monthly payments for 30 years or as long
as you own the home up to $375,000
• The principal amount plus an equitable share of appreciation becomes due
and payable at the end of the 30 year term, or repaid upon sale or transfer.
• Lottery process each year, deadline this year is July 31st, 2018
• Households income limit cannot exceed 175% of AMI
• Borrower must contribute a minimum of 5% (2.5% have to be from own
funds, remainder can be a gift)
• Borrower must have no more than $300,000 in assets prior to purchase, and
no more than $60,000 after purchase
• Borrower must have a minimum of 3 months of reserves after purchase

• All MOH programs require pre-approval through a MOHCD approved lender and that no member of applying household has owned interest in housing for 3 years prior
• Homebuyer education requirements for MOH Programs
• 6 hours of First Time Homebuyer workshops plus 2 hours of individual counseling at one of five HomeownershipSF agencies.
• Register at:

• Landed –

• They will provide half of your down payment up to 10%
• No monthly payments towards this loan
• When you sell your home, you share 25% of your investment gain or loss

• Unison –

• They have the potential to provide half of your down payment up to 12.5%
• No monthly payments towards this loan
• When you sell your home, you share up to 35% of your investment gain or loss read more →

Ever considered building wealth through real estate? …we’ll help you get started!

If you have any questions about the class, please contact Katie O’Kelly at 415-903-0268 or read more →

Sold: 39 Atalaya Terrace

Offered at $2,295,000
Sold for $2,685,730
Buyer Represented

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Sold: 57 Benton Avenue

Offered at $1,395,000
Sold for $1,725,280
Buyer Represented

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Sold: 1238 44th Avenue

Offered at $1,199,000
Sold for $1,315,000
Buyer Represented

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Sophistication, Convenience and Luxury Converge …

219 Brannan #15A,
San Francisco California

>Offered at $998,000

Click here to Request a Showing
Click here to Download Disclosures

Showing schedule:

Saturday, September 15th 2:00-4:00pm
Sunday, September 16th 2:00-4:00pm
Offers, if any, will be reviewed on Monday, September 17th at 2:00pm.

  • One bedroom/one and 1/2 baths
  • Ultimate open plan city living
  • Penthouse style NW corner unit
  • Ample storage and closet space
  • Designer lighting, sound system and remote controlled draperies
  • Panoramic views from the Bay Bridge to Twin Peaks and Bernal Hill
  • Hotel style full service building with Pool, fitness center and elegant outdoor space
  • Quick access to surrounding tech companies, FiDi and freeways
  • Close to AT&T Park, future Warrior’s home
  • Laundry in unit
  • 1 car garage parking + private, secure storage
  • Year built: 2000
  • Square footage: 815 per graphic artist
  • HOA Dues: $1,073.62
  • Walkscore/BikeScore/RiderScore: 84/87/100

In the year 2000 the Brannan was visionary – edgy even. It was in an area with little residential development and offered a lifestyle still unique in San Francisco High-rises. It is a complex of three towers, entered through an elegant semi-circular driveway, that share amenities, but each with their own elegant lobby and front desk staff. With it’s art nouveaux style glass awnings and excellent concierge style service, 219 Brannan evokes a Parisian boutique hotel. Designed by French designer Christian Liaigre, who among other projects has designed the Uber-trendy Mercer Hotel in NYC, the Brannan boasts 3000 square foot fitness center and outdoor entertainment facilities, and a perfectly positioned 75 foot pool.

Residence 15A is a spectacular & spacious open plan 1 bedroom, 1 and 1/2 bath unit. The current owner elected to remove the dividing wall to improve the astounding view of the Bay Bridge and SF skyline. It occupies the coveted north west corner of 219 Brannan and features penthouse style sliding glass walls that can be opened wide for an indoor-outdoor feel. The unit has been upgraded with designer finishes, low-voltage lighting, built-in sound system and remote controlled draperies.

In the time since it was built, San Francisco Living has come to the Brannan. It is nestled between South Beach Harbor and AT&T Park, and steps from dozens of culinary landmarks (think Saison and 25 Lusk or the SF Ferry Building Farmer’s Market). Walkable to Google, Dropbox, the Financial District and CalTrain and seconds from freeways south, this is the perfect SF location for a primary residence or a pìed a Terre.


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Sold: 21 Cordelia Drive

Offered at $575,000
Sold for $561,000
Buyer Represented

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