In early August, I wrote about what a great investment SF real estate is, which is no secret. I gave as examples three properties clients of mine were interested in and the profit I thought the sellers might receive based on my evaluation of what they might sell for. Now, all of their sales have just closed and I can give you the actual numbers which are even more astounding than my initial forecast.
A Duboce Triangle 3 bedroom condo at 251 Noe Street, purchased by sellers in 2011 for $969,000, sold for $1,626,000, resulting in a $657,000 increase (68%) in 4 years! A Hayes Valley two bedroom plus condo at 129 Steiner purchased by sellers in 2009 for $783,750 sold for $1,718,000, resulting in a $934,250 increase (119%) in 6 years. Finally, a Russian Hill three bedroom condo at 2038 Leavenworth purchased by sellers in 2006 for $1,050,000 sold for $1,650,000, generating an increase of $600,000 (57%) in 9 years. The sellers of this condo purchased it at the top of the market, saw their equity go down with the recession but held on until it came right back up making a nice profit for themselves. As this last sale demonstrates, real estate should be viewed as a long term investment, since it is not a straight path up.
By the way, all three sold for more than $300,000 over their list price! 251 Noe was listed at $1,295,000; 129 Steiner was listed at $1,349,000; and 2038 Leavenworth was listed at $1,299,000.
For more information about these condos from my earlier blog post, go to https://www.sfcurbappeal.com/buying/investing-in-sf-real-estate. San Francisco real estate is on fire and investing in it and holding on for the ride can bring a nice profit.
