• A house in San Francisco listed for $488,000 is worth more than three times that.

• The catch is that there is already a tenant living there who has the right to do so for another 30 years.

• San Francisco is notoriously expensive and cheap real estate is rare.

A three-bedroom house in San Francisco is for sale for $488,000.

This may seem like a bargain in a notoriously expensive city where the average sales price is over $1.4 million.

According to the San Francisco Standard, the house is worth about $1.8 million – more than three times the market price.

However, there is a catch: the buyer may not be able to move in for 30 years.

According to a listing on Park North Real Estate, the property in Russian Hill, an upscale neighborhood of San Francisco, has three bedrooms, two bathrooms and is 1,070 square feet.

However, it is also inhabited, and the tenant has a rental right until 2053.

The ad states that the tenant will pay $416.67 per month and will continue to pay that amount for the entire time he or she lives there.

Steven MacDonald, a legal expert on tenancy law, told ABC 7 News: “For some reason they gave this person a 30-year right of possession. I've seen this happen before. It's a pretty sloppy way of doing estate planning.”

He added: “They can do it that way. I think they should have done it differently.”

MacDonald said it would take a “very, very unique buyer” who would be willing to buy the property below value and wait decades to move in.

Ilia Smith, who lives on the street, said the listing surprised people in the neighborhood.

She told ABC 7 News: “Thirty years. I don't think I'll live to see that.”

According to the San Francisco Standard, the unusual offer for sale is due to a family drama.

As the local newspaper reported, the current tenant, 83-year-old Sandra Lee, lives there with her daughter Cheryl Lee, 66.

It belongs to Sandra Lee's son. Sandra Lee told The Standard that he put the house up for sale against her wishes.

She said her stepfather secretly negotiated a lease for her in 2018 that guaranteed her low rent and housing until 2053.

“If it weren’t for the rental agreement, [my son] “If I didn't know this was filmed in 2018, I don't know where we would be,” she told The Standard.

Business Insider was unable to reach the son for comment. Park North Real Estate also did not immediately respond to a request for comment from BI.

According to the San Francisco Chronicle, the greater San Francisco area is one of the most expensive real estate markets in the world.

The Demographia International Housing Affordability Report ranked it as “impossibly unaffordable.”

Read the original article on Business Insider

The post A 3-bed condominium in San Francisco is available on the market for $488K. The catch? You’ll be able to’t transfer in for 30 years. appeared first on DAILY SAN FRANCISCO BAY NEWS.