Ask an Expert, Is it worth the money in Inner Parkside?

Because of the length of this question, we are not going to do individual posts for each reply.  We will list the question above and each experts answer below.  Thanks, sfnewsletter

“What do you think of a property like this? We checked out the open house on Sunday:

MLS Listing #320874

Listing #320874
$898,000 (LP)Price/SqFt:  589.24
2518  15th Ave,  San Francisco, CA  94127     Active 
Beds: 3 Baths: 1.50 Sq Ft: 1524* Lot Sz:
District: 2-G Yr: 1948*

There’s no picture. But it looks something like this listing picture below (MLS #320769):

3207691.jpg

Here’s the question:

  • House appears to be in move in condition. Area is good. In Inner Parkside, on border of West Portal, just half a block from the Muni L line.
  • It is in need of much updating, however, kitchen, bathroom, etc.
  • The second bathroom is in a closet in one of the bedrooms!
  • The basement/garage is huge and the same footprint as the house. Plus it has one of those ridiculous tunnel entrances which is a huge waste of space.
  • So, it seems that the basement could be recaptured for a master suite, office, family room at a minimum, particularly if you get rid of the tunnel entrance and add that to basement space.
  • I have no idea if the permits would allow it and such work would cost at least $200K
  • Also, the north foundation wall of the house is also a retaining wall as there is a hill on that side.
  • So, is it worth to pay $900K, and add $200K to house like this in a neighborhood?”-David

 ——————————————-

As answered by Mary Laughlin Fenton, www.marylaughlinfenton.com, Sothebys International Realty

If your intent is to move in, renovate it to your family’s needs and remain for 5 years, I would say, it appears to be in the ballpark of recent closed sales.  I would advise you to get a good agent to work with you to walk you through all of the nuances that might be involved since this  1. is a probate sale. 2.  will require proper inspections  3.  your decision will be based on the cost of remodel, so you’ll want accurate estimates of the cost to do so.

——————————————-

As answered by Shanendoah Forbes, sforbes@a-c.com, Arroyo & Coates

David,

My answer is no.  From what you have described the property has too many questionable characteristics.  The neighborhood is OK at best.  I think you would be better served by staying patient and finding something with better “bones”.  Good luck.

PS. If the weather was better, then you might reconsider.

——————————————

As answered by Alexander Clark, info@sfnewsletter, Hill & Co. Real Estate

David,

Here are the comps.  Make sure you take a close look at them.  I would even suggest taking a look at this home on the Fastrack to Staledom ™.  It’s been on the market a lot longer, has more square footage, price reduced, and the beez buzzing to the listing you’re talking about have already forgotten about the sweet nectar to be found in this alternative. 

If you are planning on flipping, forget it.  You’re right at the mark of where you will either break even, or lose money.  Probably lose money.  If you are planning on purchasing to live in the home for a while, then yes…go for it.  Gut it, do it right, see our posts from yesterday for great examples of how, live in it, enjoy it, and barring any major disaster, you should do just fine.   The weather in that area in the summer is less than ideal if you hate fog, but is great if you love fog.  I believe the home you are asking about is on the east side of the street.  If so, that is a HUGE plus as even in Spring when the prevailing North Westerlies start howling, your backyard will be sunny and warm.  For a look at what we had to say about the Inner Parkside, check out our Tour de San Francisco.

So the answer.  Yes, if you plan on living in it for a while.  No if you plan on flipping it.

4 thoughts on “Ask an Expert, Is it worth the money in Inner Parkside?

  1. One of your comps is 2452 15th Ave., which I have been kind of watching. I’ve noticed that the list price has dropped three times, from $1.099M to $1.08M, $999k, and $899k, in the space of about two weeks.

    Is this historical list price information available anywhere? These old prices don’t show up in your reports.

  2. I meant, is the historical price information available on any publicly-accessible MLS site for peons like me, or do I have to have a real estate license with MLS logon to see this stuff?

  3. Rob,

    As far as I am aware, there is not a place to find that information. You might try http://www.propertyshark.com. Or just ask us, and we’ll be happy to give you the run-down on any property. You seem to know a lot about this property already, I guess all I can add is that it was last sold in 2006 for $900k.

    Our reports are based off of information pulled from MLS. I assume you’re talking about our reports on the sfnewsletter.

    Thanks for reading, and thanks for commenting.

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