Buying a Home in San Francisco: Transfer Tax Tiers & Soft-Story Retrofit
San Francisco's transfer tax is unlike anywhere else in California — steep, tiered by price, and currently being renegotiated by the city.
San Francisco is a consolidated city and county — the only one in California — which means "San Francisco County" and "the City of San Francisco" are the same government and the same transfer-tax jurisdiction. Its transfer tax is genuinely unusual (a steep, multi-tier structure with no separate county layer to worry about), and its building stock carries real, well-documented seismic retrofit obligations.
What’s the transfer tax in San Francisco County?
San Francisco does not use the standard statewide rate — it charges a steep, tiered transfer tax by sale price, and as of early 2026 the rates themselves are under active legislative review.
As of early 2026, published tiers were approximately: $250,000–$1,000,000 at roughly 0.5%–0.68% (sources vary slightly on the exact rate in this bracket); $1,000,001–$5,000,000 at roughly 0.75%; $5,000,001–$10,000,000 at roughly 2.25%; and above $10,000,000 at roughly 2.5%–6% depending on the bracket. In February 2026, San Francisco's mayor and a district supervisor introduced the "BUILD Act," a proposal to reduce transfer tax rates on large transactions to stimulate housing and commercial development — whether and when that passes will change the higher tiers. For any specific transaction, confirm the current rate directly via SF.gov's transfer tax page rather than relying on a fixed number; this is the single most volatile transfer-tax situation of any California jurisdiction covered in available sourcing. Even for a typical single-family or condo sale well under $1M, the effective rate is still higher than the standard $1.10-per-$1,000 statewide base.
What is San Francisco's soft-story retrofit ordinance?
San Francisco has one of the most active local soft-story retrofit programs in California, covering wood-frame buildings with ground-floor parking or commercial space and multiple units built before modern seismic codes.
If you're considering a multi-unit wood-frame building of this type, ask specifically about retrofit compliance status — an unretrofitted building may carry a pending mandatory-compliance deadline and associated cost.
How does Prop 13 reassessment affect a San Francisco purchase?
As in the rest of California, a change of ownership generally triggers reassessment to current market value under Prop 13, and San Francisco's unusually high property values make this a larger absolute dollar swing than in most counties.
This matters when evaluating total cost of ownership against a longtime-owner seller's current (likely much lower) tax bill — don't assume the seller's disclosed property tax figure will carry over to you.
Disclosure landscape
- Confirm the current transfer tax tier directly via SF.gov before closing — rates are under active legislative review as of early 2026.
- Ask about soft-story seismic retrofit compliance status for any multi-unit wood-frame building with ground-floor parking or commercial space.
- Expect full reassessment to current market value under Prop 13 upon purchase — don't rely on the seller's current tax bill as a guide to yours.
Frequently asked
What is the transfer tax rate for a typical home sale in San Francisco?
For a sale between $250,000 and $1,000,000, published rates as of early 2026 run roughly 0.5%–0.68%, higher than the standard statewide $1.10-per-$1,000 base found in most CA counties. Because a proposed rate reduction (the "BUILD Act") was introduced in February 2026, confirm the current rate directly on SF.gov before closing.
Do I need to worry about seismic retrofit if I buy a multi-unit building?
Possibly — San Francisco has an active mandatory soft-story retrofit program covering older wood-frame buildings with ground-floor parking or commercial space and multiple units. Ask about compliance status and any pending deadline before buying this type of building.
Will my property taxes match what the seller was paying?
No. A change of ownership triggers reassessment to current market value under Prop 13, and given San Francisco's high property values, that reassessment is typically a much larger dollar figure than the seller's existing tax bill.
This is educational guidance, not legal advice. Consult a California real estate attorney for legal questions specific to your transaction.