One of the first questions to ask when looking at San Francisco condos is how old the building is and whether it has undergone structural inspections. In simpler terms, this means that the older the building, the more important it is to check the inspection history of balconies and external structures, as this has become as crucial as confirming the sale.

California has mandated through SB326 and Civil Code Section 5551 that by January 1, 2025, condos with three or more stories must have their balconies, decks, and external passageways inspected by a structural engineer or architect. If the terminology is unfamiliar, think of it this way: buildings must undergo safety inspections at set intervals, every nine years, and the results must be reflected in the management's reserve study. Delaying inspections or failing to incorporate the results into the budget can lead to fines of up to $5,000 per incident and potential personal liability for the board.

Let's also look at prices. As of April 2026, the median listing price for San Francisco condos is $999,000, returning to levels seen in 2018 and 2019. The average HOA fee for condos is $680 per month, while the overall metro median is $502 per month. Luxury buildings like Lumina and St. Regis can have fees ranging from $1,200 to over $3,500 per month. High management fees are not necessarily a burden; in simpler terms, they can indicate that building management and reserve contributions are being handled robustly. Between 2019 and 2024, San Francisco HOA fees increased by about 26%, attributed to soaring insurance costs and the mandate for balcony inspections.

There is an order to follow when checking this information. First, review the financial statements and budget from the last two to three years, and see if the SB326 inspection results are included in the reserve study. Next, check for any scheduled special assessments and whether there are any lawsuits recorded in the management meeting minutes. Finally, review the rental restriction regulations. Some complexes have rental caps that allow only a certain percentage of units to be rented, and others have minimum rental periods, so if you're investing, it's essential to examine these regulations closely.

If you're moving from another state to San Francisco, the property tax system may feel unfamiliar. In simpler terms, California reassesses property taxes based on the purchase price and caps annual increases at 2% under Proposition 13. If you're coming from a state with no income tax, this structure will be new to you. The Davis-Stirling Act, which governs condo management, is also unique to California, so it's good to be aware that the HOA operations and specific conditions may differ from your previous residence.

Don't overlook the possibility of obtaining a loan. If the percentage of delinquent units exceeds 15% or if the rental unit ratio is excessively high, the property may be classified as a non-warrantable condo under Fannie Mae guidelines. The same applies to complexes with ongoing lawsuits; the nature of the lawsuit—whether it's a serious structural defect or a simple neighbor dispute—can affect the loan approval outcome, so it's advisable to check the details of any lawsuits. Starting August 3, 2026, Fannie Mae will eliminate the streamlined review process previously applied to existing complexes and switch to a more detailed review, making it harder to secure loans for properties with lawsuits or reserve deficiencies. It's best to request the delinquency rate, rental unit ratio, and lawsuit status directly from the management in writing before the sales contract to reduce delays during the loan approval process.

San Francisco has a steady demand from tech industry workers and students, making rentals relatively stable, and condos generally have less management burden than single-family homes, which can be less of a strain for investors who manage and operate them. However, for older buildings, it's wise to approach with the understanding that structural inspections and repair costs may be added to management fees in the coming years. This article is not investment or legal advice, and consulting a professional before any actual contracts is recommended.