The 6,300-square-foot Russian Hill home at 875 Francisco Street, an “heirloom property in one of S.F.’s most prestigious [and] exclusive locations,” hit the market priced at $15.5 million in February of 2021, roughly a year after the owners were served a notice of default on an outstanding loan.

Featuring “panoramic views, timeless architecture [and] exceptional natural light,” with a two-car garage, lower level au-pair entrance, and elevator between its floors, the asking price for 875 Francisco was reduced to $14.35 million after a few weeks on the market, relisted for $13.5 million two months later, reduced to $12.5 million six weeks later, to $11.5 million in September of 2021 and then further reduced to $11.25 million in April of last year, a month before a foreclosure auction was noticed and scheduled.

Foreclosed upon last July, 875 Francisco Street returned to the market listed for $8.495 million five months ago, lender owner and positioned as “the perfect canvas for designing a bespoke heritage property.”

Having been reduced seven (7) times since, the asking price for the Russian Hill mansion “surrounded by preeminent dining [and] shopping, yet tucked away on a quiet street, with the sensation of floating above the bay,” is now down to $7.776 million, a sale at which would be “at asking” according to all industry stats and aggregate reports but 49.8 percent below its “asking price” in early 2021.

If you think you know the market for prestigious neighborhoods and homes in San Francisco, here’s another chance to tell.

13 thoughts on “Price for Russian Hill Heirloom Home Has Dropped 50 Percent”
  1. It looks like there’s a lot to work with. The kitchen is sad for a house that was put on the market for $15.5. I generally love the grand old homes but even I have started to gravitate towards the glitzier remodels. These houses look old and heavy and need to be totally redone and that costs a great deal of money.

    1. I just looked at all the pictures and it’s telling that there are so many of the neighborhood and less of the house itself. It needs a total redo of every single room. One thing that struck me is that a room had curtains in the same fabric I used back in the 80’s. It was a nice look 40 years ago.

      1. Yep, they’re trying to sell the neighbourhood but it’s not even that fantastic.
        If you want to dump that kind of money, (the previous 15m price tag) just move to where proper rich people are known to live in SF. More west: pac heights etc.
        Second problem: It’s kind of close to fishermans wharf, north point etc. the neighbourhood isn’t that fantastic. I used to live on Chest nut. It’s nicer up on the hill.
        Third problem: verticality. I youf need an elevator, then you have too many floors. Flatter is better – especially at this price.
        Fourth problem: Russian Hill just can’t hold the 15m+ prices.
        Fifth problem: SF just can’t be trusted right now. I personally kept some rentals, but moved the HQ back down south.

  2. The Red Menace (Room)
    Suddenly white doesn’t seem so bad.
    As for the semantics
    1. : a piece of property (such as a deed or charter) that descends to the heir as an inseparable part of an inheritance of real property. 2. : something of special value handed down from one generation to another.
    It would seem, by definition, an “heirloom” is something that is never sold.

    1. Good points, the real estate agent that wrote the listing copy clearly wasn’t thinking about meaning and was trying to impart a certain vibe.
      It seems like just the other day around here, I was being told that “high end luxury” buyers don’t need mortgages and that “they pay cash”. If that were true in all cases, the former owners of this “heirloom property” would have inherited the house free and clear and wouldn’t have ever defaulted.

  3. Lots of problems here. 1990s era can lights everywhere. Wallpaper. A kitchen that looks weird and cramped. What’s up with that flashing around the stove hood? Too long of a pipe limiting its draw?

    If you ever wanted to see an example for why a bar sink on the kitchen island is a bad idea, here it is. That little sink will only get in the way and collect debris. All that because reaching for the real sink one step away is too hard? If you really must have a tiny sink in your house, make it in a living room wet bar, behind a built-in cabinet door as God intended. I do appreciate unstaged listing photos and was surprised to see those worn matching lowback stools at the island. The whole scene creates the urge to crack open a bottle of Bartles and James wine cooler.

    Assuming that the structure and systems are in decent shape, it might be revived with superficial updates. Biggest (from the photos here) is to redo that kitchen. Then a lot of small stuff like replace those 90s cans with modern pucks. Strip the wallpaper and repaint. Replace the foyer chandelier that was ripped out with something modern or classic. Just clean up that wonderful wood foyer and staircase, including the wainscotting. Let it remain old and classy with its dings and blemishes.

    1. Yes, the fire sale pricing has nothing to do with an ongoing, epic real estate meltdown, but is instead due to a litany of minor, easily-remediable details.

      1. First of all, nothing in SF is easily remediable or cheap. The work would take at least a year and cost over $1,000,000 – probably much more. They originally priced the house as if it was in move in condition and even then they over priced it as if the bubble was still expanding. Then they chased the market down but always stayed just far enough above what people would pay. Listings get stale and once it looks like you’re expecting an unreasonable price people pass it over.

      2. Or the fire sale pricing has to do with the major remodeling required intersecting with an ongoing real estate “adjustment” that may not be, yet, an “epic meltdown” but will have big effects on marginal properties and some effects throughout the market.

        1. My bad. Please accept my apologies. I mistook your critique of the kitchen/interior design/staging as a response to the post, “Price for Russian Hill Heirloom Home Has Dropped 50 Percent.”

          1. Picking apart a property’s condition and proposing a course of action is sort of a tradition here on SocketSite. It is one of the few cases that our host tolerates straying off topic :-).

            I really do hope that stairway and foyer woodwork survive the next buyer/flipper’s remodel refresh. The whole structure need not be sterilized.

  4. But any property with SF address always gets multiple offers and sells over asking price? The listings sell themselves?

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