I live in Soma, South Beach. My building is renting one bedrooms for 2400 I think. You can take one bus to Coit Tower, though I’m not sure if that includes any hills.

I live in the bay area and you really can't buy for that here in a decent area - not unless you are getting a one bedroom.
You should just rent. Is your husband able to negotiate a salary increasing or a housing allowance? You need to make more here than you did in DC.

We relocated to the Bay Area three years ago. We rented in Emeryville for the first year and I would suggest that you do that too. There are many, many small cities and neighborhoods that are pretty different, so get the feel for which ones you like. Commute times can vary a ton even if you make a relatively small move from one East Bay city to another.

500k will really not get you anything here that's not WAY out in Pittsburg/Oakley, and even those houses are more likely to be 600k.

How much is your HHI? If I were you, I would rent for a year or two and save aggressively, and then buy. You're very likely to make a small profit owning a home for five years.

Anonymous wrote:It's not $1.76 Million to rent...

Sausalito would be a great spot based on their criteria.

Sausalito has unfortunately gotten extraordinarily expensive, even to rent. Even if OP can make do with a 1BR apartment, it would be tough to do there for under $2000. (It's tough pretty much anywhere in the Bay Area these days, granted, but Sausalito is among the more expensive spots.) It may once have been considered a more affordable option, but sadly it no longer is (and hasn't been for some time).

OP, you likely need to look in the East Bay, and may need to be flexible on commute length at that price point. Maybe check out El Cerrito or the Laurel District in Oakland? (Probably only for rentals; both have gotten pretty pricey for sales, although occasionally sub-$500K condos do pop up.)

It's not $1.76 Million to rent...

Sausalito would be a great spot based on their criteria.

Anonymous wrote:Look in Sausalito:

1. Easy commute with multiple options
2. nice weather
3. parking
4. cheaper rent than SF

On a budget of $500K?!?

Sausalito is indeed lovely, but the median home price last year was $1.76M.

Look in Sausalito:

1. Easy commute with multiple options
2. nice weather
3. parking
4. cheaper rent than SF

Before you have kids (unless you are actively trying), I'd live in SF and enjoy the nightlife. Once you have kids, I'd consider a bigger place in the East Bay only as long as it were BART accessible. I'd learn more about the specific markets and commutes before buying.

-- East Bay homeowner who loves her house, but acknowledges that it works for us (location and school district wise) but wouldn't for most

What will your hhi be when you're out there?

Agreed that seven years is hardly temporary--! But yes, definitely rent. First, as a PP noted, the market is likely at or near peak, and in seven years' time may well be down from where it is now. (Could be up too, of course, but that's a gamble.)

The bigger reason, though, is that if you plan to have kids in the not too distant future, your priorities on where to live are likely to change. Having the flexibility to pick up and move, especially given that you will ultimately be headed back to DC, is hugely valuable. And $500K is not going to get you especially desirable neighborhoods for a 2BR, even in the East Bay. Remember that people in the Bay Area generally list low--there is virtually nothing listed right now below $450K that is in an area I'd be willing to live with children. (Rossmoor in Walnut Creek is a senior living community with age limits, so don't count those.)

What would your rent budget be if you don't buy?

In your shoes, I would rent in San Francisco for the first 1-2 years if your budget allows, and then plan to move to the East Bay once you have small children. I know you say you don't care about schools since it's only for a couple of years, but you may well change your mind on that once your kids are actually here.

I think the market has hit the peak. I’d rent for now.

7 years sounds like more than temporary

My husband's job is transferring him to San Francisco. We will be there for around 7 years, and then move back to DC. The office is located near Coit Tower. I work from home full time, and will continue to do so.

Because this is a temporary move, we do not want to sell our house here in DC. We are currently debating if we should buy or rent in San Francisco. Our budget to buy would be around $500k, which I know is tiny!!!, but I did find several 2 bedroom condos in this price range, mostly in the East Bay. Also, his company would assist with closing costs on both the purchase and sale of the San Francisco area home.

We will probably have 1 or 2 kids while we are out there. I have no issue with them sharing a bedroom. Because they will be so young while we are there, schools are not my top priority- I am fine with average rankings for public elementary or we can do private for a year or two until we get back to DC.

Anyway- any advice on rent vs buy? Any areas we should target, keeping in mind a commute to the Coit Tower area and our tiny budget?