Answering the oh so common question in San Francisco real estate, “How much more valuable is a Condo than a TIC (Tenancy In Common)”, RealDataSF.com takes us there in a chart:
[Update: If you saw a chart before that was different than this one…that was the wrong one. This is correct.]
[Update 2: From “Garrett” in the comments below: “what this chart doesn’t measure is opportunity costs. it is a PAIN IN THE ASS to buy/sell/manage a TIC. i don’t care if it’s a 2 unit building or a 6 unit building, TICs always come with drama… if you want to condo convert it will cost money and you’ll have to deal with your partners and the city. if you want to sell, you’ll have to deal with equity/liquid cash issues. the drama/potential problem list goes on and on and on. so, not only is there a difference in “value” there is an even greater discrepancy between TICs and Condos when it comes to time, headaches and just general pains in the ass.” Now how many Realtors are going to be that honest with you? Hats off to Garrett!]
RealDataSF is Misha Weidman…and we thank him for the graph. More details at his site.