The Local Investors' Guide to Bay Area Real Estate

With first-class employment opportunities attracting the brightest minds from all over the world, San Francisco's Bay Area is undoubtedly a desirable place to own a home on the rental market. Bay Area homes attract some of the highest rents across the country — but they can also be the most unpredictable. After a rollercoaster few years fuelled by the pandemic and relocations, this guide brings together some handy resources for anyone who owns or is considering purchasing a rental property in the Bay Area. 

How much property tax will I pay in the SF Bay Area?

The average property tax rate in for California state is 0.75%, however the City and County of San Francisco is slightly above this. The secured property tax rate for the 2022-2023 fiscal year sitting at 1.179% (sourced from SF’s Treasurer and Tax Collector, accurate as of July 2023).  

This is assuming your home is being used as a long-term rental and not for short-term vacation stays. San Francisco has an additional Transient Occupancy Tax (TOT) of 14% on the rental of properties for stays of less than 30 days, to be collected from guests. You can learn more about your tax obligations and reporting requirements for short-term rentals (including Airbnb) here. 

How much rent should I charge in the SF Bay Area?

After years of astronomical growth, San Francisco’s Bay Area remains among the top 10 most expensive cities in the country to rent — even when inner city rents dipped during the pandemic-led exodus. Most of the Bay Area rebounded quickly and even in areas that are still down on pre-pandemic levels, rents aren’t exactly low. 

But with a state of flux, coupled with rising interest rates and troubling inflation, homeowners could be forgiven for thinking that you need a crystal ball to price your Bay Area rental. But Belong has a better solution, based on real-time demand.  

Looking at hard numbers and comps alone isn’t enough when the market gets complicated. Or looking to outdated models such as asking for 1-2% of the mortgage rate or property value. Yet that’s exactly what real estate agents and property managers do, because it’s the way it’s always been done. 

But we’re playing a different game now. Property values have changed from that once-neat sum. And as workers return to the Bay Area, the wish list of amenities has changed. People have become accustomed to more space. They want outdoor areas, fast wifi and home offices. Studios and 1-bedroom apartments are still trickier to shift, while roomier single-family homes like the one on Belong’s network are being snapped up soon after listing. 

Belong addresses market complexities and shifts by taking a modern approach to pricing homes for rent. In fact, Belong has ditched the property management model to offer a completely unique service that takes a humanized approach to the rental market —  including pricing. 

When helping owners price rentals in SF’s Bay Area, Belong uses technology to blend live market data with an all-important metric: real demand for each home. We determine the right price for your home that will maximize rental income and keep vacancies low, long-term. And because we extend our services to renters as part of our community, we attract the best of the best to place in your rental property. 

Read More: Bay Area Prices are in Flux: How Much Rent Should You Charge? 

Are there rent control ordinances in the Bay Area?

Yes, like many areas within California, the City and County of San Francisco has a rent ordinance for properties in the Bay Area. The Rent Board seeks to protect residents from excessive rent increases and inject evictions, while allowing homeowners to seek fair rent for their homes. 

This makes getting the pricing right for your Bay Area home all the more important. You cannot increase rents more than once a year, increases are capped, and you can’t evict a resident without just cause (for example, to seek higher rent). 

Read More: Everything You Need to Know About California’s Rent Control Laws

Who are the best property management companies in the Bay Area?

The best way to ensure your new investment home is well-kept and profitable is to find the best company to help you manage it. But when comparing the best property management companies across California, you’ll be looking at a handful of differences between them all. Things like how much they charge for management fees and how often you’re going to get slogged for more (if they even tell you!). 

With Belong, there’s no comparison. Because Belong isn’t a property management company, it’s a completely unique experience that is humanizing the rental market. Belong does things differently, offering:

• Guaranteed Rent: Receive your rent on time, every month, regardless of when it’s paid by residents.
• 24/7 Concierge Support: Both homeowners and residents have access to real-time support, going beyond emergency maintenance requests.
• Transparent fees: No hidden costs like setup fees or lease renewal charges.
• Modern-day marketing: Virtual tours and video marketing is included in listings.
• User-friendly app: Belong's app provides convenient access to documentation, cash flow insights, and financial and insurance solutions. 
• Long-term residents: Belong takes a personalized approach to match the right people, so they stay longer and feel at home.
• Innovative financial solutions: Homeowners can manage cash flow effectively, even splitting the cost of maintenance and placement fees.
• Eviction protection: Owners are shielded from legal costs if we ever place the wrong people
• Extensive vendor network: Belong connects homeowners with a vetted network of over 10,000 professionals for repairs and renovations.
• Comprehensive insurance solutions: Belong offers insurance options that protect homeowners, their properties, and residents.
• Market-driven insights: Belong utilizes market data and real-time interest to maximize the value of your home.

Even though Belong topped the list when we compared Calirfornia’s top-ranked property managers, it became clear we were comparing apples with oranges. Find out if your Bay Area property is eligible for Belong here. 

Read More: We Outrank The Best Property Management Companies in California

Discover why San Francisco’s Bay Area loves Belong

If you own a condo or single-family home in San Francisco, Belong offers our unique long-term residential rental experience to all Bay Area neighborhoods. Our local team will go out of our way to find great long-term residents that will love your SF Bay Area home as much as you do. But don’t take our word for it, here is what homeowners are saying about us…

Think your home belongs with us?  Visit our homeowner's page to find out more about how our services are helping people to ditch property management in San Francisco, Oakland, Sacramento, Alameda, Palo Alto, Sausalito, Santa Clara, and many more.