How Much is Parking Worth in San Francisco? And How Saleable is My Home Without It?
I've had appraisers estimate that the first parking space is worth about 10% of the price. In new home developments, we've seen homes offered for $60-75,000 less without deeded parking.
Home Sales with and without Parking: The chart below breaks out number of sales with and without parking by type. Note that many condo developments offer parking by lease instead of by title, which is a very different situation than a condo or house that does not have onsite parking and leases it nearby.
When I work with buyers the first thing I ask them is whether they can live without parking. Most of them can't, but those who can have more options. It can also make the purchase affordable. One of my buyers can't qualify for more than a $450,000 purchase price. Given the neighborhood, home style and amount of space she wants (Mission, Victorian, 650+ sf), I've made it clear that parking is an amenity she may have to give up in order to make the purchase work.
With Sellers who have no parking, I work hard to identify reasonable renting parking nearby. This is the best way available to meet a prospect's objection to its absence. The second best way is to have a garage bid available. Although the cost can be high, adding parking is often worth the return on investment.
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