Purchased for $1.600 million in November of 2012, the modern three-bedroom condo at 857 Alabama Street, the unit below 859 Alabama Street, resold for $2.150 million in February of 2015, despite the “short-term hold” and the unit having been “used” between.

Boasting 2,050 square feet of space, with three en-suite bedrooms; an open concept great room; high-end finishes; a large private deck; a huge private backyard; and deeded garage parking for one car, 857 Alabama Street returned to the market priced at $2.295 million this past September, a sale at which would have represented net appreciation of just 6.7 percent since the first quarter of 2015 on an apples-to-apples basis.

Reduced to $2.150 million last month, the resale of 857 Alabama Street, “[o]ne of the premier modern luxury homes in the heart of the vibrant Mission,” has just closed escrow with a contract price of $2.200 million, which is officially “over asking!” according to all industry stats and aggregate market reports and metrics, such as Redfin’s trademarked “Compete Score,” but just 2.3 percent above its 2015 value on an apples-to-apples basis while the frequently misreported index for “San Francisco” condo values is “still up 36 percent!” over the same period of time.

15 thoughts on “A Significant “Over Asking” Sale in the Mission”
        1. But can you in a tax shelter ??
          (YUK YUK YUK)
          I believe ‘JImbo’s comment is only meaningful in the context of “house as an investment”, a viewpoint which no small number of SSers seem to hold.

          1. I don’t doubt that, but what they need to realize is that housing functions as more than a straight investment.

          2. look, i agree. i live in my house because i love it. do i hope it gains in value? of course.

            the comment is about opportunity costs when one overpays for a home in a hot market. It needs to be taken into consideration in a rent vs buy scenario. AS i said, i dont think this person made out too bad considering the market, and looking at renting and investing in S&P vs their purchase is clearly monday morning QB’ing. But i think its helpful, at least for me when i think about buying RE vs using that money for something else.

  1. Last time we were discussing 857 Alabama around here, Panhandle Pro wrote:

    Considering the private yard and deck, which is not included in the square footage of course, it would be pretty sobering to see this go for less than $1,100/foot.

    Well, the listing area at 2,054 ft.² implies a price of $1,071 per ft.² or a 2.6 percent decrease from that watermark. Welcome to your Drynuary a couple of months early!

    1. A lot of the commentariat won’t be needing Twelve Step programs with all the “sobering” news we’ve seen lately.

  2. So another way overpriced condo for out of towners. Who dont remember just how sketchy those blocks were before Three Strikes and the big clear out of crims from the Army St and Potrero Ave projects back in the 1990’s during the rebuild. Or even the very effective evictions of the gangs houses back then. Trying to remember which of those blocks had the gang house with all the drive-bys. It was bit closer to Army St from what I remember.

    Well Prop 47/57 dismantled Three Strikes. A recent AB from a “gang friendly” LA Assembly member makes gang evictions pretty much illegal. And as the SFPD have been eviscerated by the SF Dept of “Police Accountability” so when the place gets burgled or their car stolen nothing will happen. And the local crims know that. Plus the neighbors elected a “human rights” lawyer from LA as their Supe who even by the very low standards of Supes over the last few decades is embarrassingly stupid.

    What do they say about location. North Slope of Potrero Hill that place would be very viable. West of Guerrero the same. But in the traditional gang alley part of the Mission – good luck with that. It seems that was even a fairly rough part of the Mission when it was mostly Irish / Italian. Must be something in the swampy soil.

    So a perfect example of the Bigger Fool property. Quite a few of them in areas like the Mission.

    1. I don’t see how that’s relevant to the price unless you think the neighborhood will revert – the NE Mission is quite safe and clean these days (and too expensive for that element to flourish). The main downsides are encampments and trash – one can live with that since that tends to affect the industrial streets more.

    2. Umm, you’re talking about 30 years ago. A lot has changed since then. This is a wonderful block with a lot of nice family homes and delicious, well-known restaurants all around. I’ve lived in this area for 20+ years. Leave your prejudice behind and come around sometime.

    3. Ugh, this comment. The befuddlement that a neighborhood was rough “even” when populated by those of European origin. Gross.

    1. I hadn’t noticed that until you pointed it out — but yeah, super weird. I guess they really wanted can lights and to preserve ceiling height everywhere else, but it’s really DIY and ugly looking. Not even an attempt to make it symmetric or logical.

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