The Rental Market is on Crack

Been looking around at what the going rate for studios is in SF and it has got to be the weirdest thing there is. Quite simply, there is no real barometer measuring the worth of what an apartment is. You’ll see one that is $1000, a dump, and really close to the Loin, then you’ll see another that’s $850, fantastic and on Nob Hill. I don’t have any idea what the hell is going on other than this entire system must be smoking crack or something. That’s the only thing that can explain the bipolar real estate market here.
Obviously there is some form of going rate. The only studios you’ll find for $700 or less are like something out of a horror film. And any studios that are more than $1100 won’t get rented because for that price you’re approaching one bedroom status. So, you get this very tight market that rents for between $800 and $1000 on average. While it does seem that the prices are edging up, they’re not doing it that quickly. For one thing, wages are not going up. For another, due to rent control in a lot of San Francisco (any building that’s 25 years old or older I believe) rent cannot be raised except in very small increments. Something that a lot of people don’t know is that this is the case even when tenants are changing, but because most folks moving in had no idea what the person moving out was paying, the landlords can get away with these increases.
So, anyways, just thought I’d drop this nugget of knowledge out there for any who were looking and in San Francisco, you’re always looking. Naturally my friend who is paying $700 for a very nice, large, top floor studio on the very top of Nob Hill isn’t looking. The same goes for a very nice older lady who has lived in my building for 30 years and pays somewhere around $600 for a very large one bedroom apartment on the top floor that she has all to herself and her cat. Must drive the landlords crazy when they get these folks in a place.