San Francisco’s median single-family price sits at $1.35M, down 6% from last spring but still 42% above 2019 levels. Condominiums trade closer to $1.1M, with SOMA and Mission Bay seeing the steepest price cuts as tech layoffs ripple through the buyer pool. Inventory is creeping up—2.1 months versus 1.4 months a year ago—yet well-priced homes in Sunset, Richmond, and Bernal still draw 8–12 offers. The sweet spot: $900k–$1.1k two-bed condos in Districts 3 and 4, where FHA limits of $1.089M let buyers put just 3.5% down.

Interest-rate volatility has pushed the average 30-year fixed to 7.1%, but NMHL’s 5/1 SOFR ARM starts at 5.875%, shaving $900 off monthly payments on a $1M loan. If you’re holding RSUs from a recently IPO’d SF firm, our Tech Professional ARM allows recast every 12 months, so you can apply that windfall directly to principal without refinancing.

• Ingleside & Outer Mission: Median under $950k, BART access at Balboa Park, and plenty of 2-bed condos that qualify for FHA 3.5% down.
• Visitacion Valley: The city’s last sub-$800k pocket; NMHL closed a $780k single-family here with only $27k down using CalHFA + CHDAP.
• Sunset District: Quiet fog, great schools (Lincoln HS API 890), and a steady 4% annual appreciation. We see multiple-offer scenarios under $1M.
• Treasure Island: New-build condos priced from $650k; HOA dues include earthquake insurance, and the ferry to the FiDi is 22 minutes.

Avoid: TICs in buildings built before 1979 with pending soft-story notices; the city’s Mandatory Seismic Retrofit Program can trigger $150k+ special assessments that sink DTI ratios mid-escrow.

San Francisco’s base rate is 1.1641%, but with voter-approved bonds the average effective rate hovers around 1.25%. On a $1.2M purchase that’s $1,250 per month—no small line item. The good news: Prop 13 caps annual increases at 2%, so buying now locks in predictable taxes even as valuations rise. Supplemental bills arrive in 8–12 months; budget an extra 0.25% the first year.

First-time buyers earning up to 175% AMI can apply for the Middle-Class Down-Payment Assistance program—up to $75k forgivable after 10 years. If you’re a teacher, EMT, or nurse, NMHL stacks the city’s Educator Next Door $20k grant with CalHFA ZIP, bringing total assistance to $115k on a $1M home.

• Bank Statement Plus: Use 12 months of business or personal deposits to qualify; no tax returns required. Ideal for SoMa consultants and Sunset gig-economy workers.
• VA Zero-Down to $1.5M: With the VA county limit now eliminated, veterans can buy a $1.5M Pacific Heights condo with $0 down and no PMI—NMHL covers the 0.5% funding fee on deals over $1M.
• Jumbo 95% LTV: FICO down to 680, loan amounts to $2M. We recently funded a $1.9M Noe Valley Victorian with 5% down and a 7/1 ARM at 6.125%.
• FHA 203(k) Streamline: Finance up to $75k in renovations; perfect for earthquake retrofits or updating a 1940s Richmond kitchen before move-in.
• Community Second 105% CLTV: Pair a 3% first with a 2% forgivable second—total 105% financing—so you keep cash for SF’s competitive earnest-money deposits.

Talk to any San Francisco renter and they’ll tell you the biggest barrier is the down payment. NMHL layers assistance like a Mission burrito:

1. CalHFA FHA: 3.5% first + 3.5% ZIP second at 3.25%—no payments for 30 years.
2. Golden State Finance Authority (GSFA) Platinum: Up to 5% forgivable after 36 months; we pair this with our conventional 97% to reach 102% financing.
3. San Francisco MOHCD Teacher Next Door: $20k forgivable over five years; must buy within SFUSD boundaries.
4. NHMLS DreamKeeper: Up to $50k for Black, Indigenous, and People of Color households; covers down payment, closing costs, or rate buy-down.

Last month we helped a UCSF nurse close on a $880k Mission Bay condo using $60k in combined assistance—her cash-to-close was $4,700, less than two months of Bay Area rent.