TIC vs Condo vs Co-op In Haight-Ashbury Explained

Looking at a classic Haight-Ashbury flat and wondering if it’s a TIC, condo, or co-op? In a neighborhood of Victorian and Edwardian buildings, the ownership structure can shape everything from financing to resale. This guide gives you clear definitions, local context, what lenders look for, and what to review before you write an offer. Let’s dive in.

Quick definitions

Condominium basics

A condominium is a separately deeded unit in a larger property. You hold title to your unit and share ownership of common areas through an HOA. Your unit has its own property tax bill. Governance follows California’s Davis-Stirling Common Interest Development Act, with recorded CC&Rs, bylaws, rules, budgets, and reserve studies.

Tenancy-in-Common basics

A TIC is shared ownership of the entire property by multiple owners, each with a fractional interest. A private TIC Agreement assigns you the exclusive right to occupy a specific unit. TICs are typically governed by contracts among owners rather than Davis-Stirling. Structures vary, including whether there is one shared mortgage or individual fractional loans.

Cooperative basics

In a co-op, a corporation owns the building and you buy shares in that corporation. Your shares give you a proprietary lease to a specific unit. Governance follows corporate bylaws, a board, and house rules. Boards often approve buyers and may set subletting policies.

How ownership works day to day

• Condos: You receive an individual deed and title insurance for your unit. The HOA carries a master insurance policy, while you usually carry an HO-6 policy for interiors. You pay monthly HOA dues that fund operations and reserves.
• TICs: You receive a deed to a fractional interest in the whole property paired with an occupancy agreement for your unit. The TIC Agreement sets monthly contributions, maintenance responsibilities, decision-making thresholds, and default remedies. Insurance structure can vary by agreement.
• Co-ops: You hold corporate shares and a proprietary lease rather than a deed. The corporation maintains building insurance. You pay monthly maintenance that supports operations and reserves.

Financing in San Francisco

Condos: widest lender options

Condos typically qualify for a broad range of loans, including conforming mortgages and some FHA or VA programs when the project meets approval criteria. Lenders may review project questionnaires, reserves, occupancy levels, and litigation.

TICs: limited lenders and higher down payments

TIC financing is more specialized. Many lenders require larger down payments and stricter debt-to-income and reserve standards. Typical down payments are often 20–30 percent or higher. Underwriting reviews the TIC Agreement, shared-mortgage risk, and default provisions.

Co-ops: board and building matter

Co-op loans are available through a smaller set of lenders. Underwriting focuses on your qualifications and the co-op’s financial strength, reserves, and policies. Down payments often fall in the 15–25 percent range. FHA and VA programs are generally restricted for co-ops.

Appraisals, title, and insurance

• Appraisals: Condo appraisals rely on nearby condo comps. TIC and co-op appraisals can be tougher due to fewer comparable sales and unique structures. That can affect valuation and timing.
• Title and closing: Condos close like other real property with individual title. TICs record fractional interest deeds alongside the TIC Agreement. Co-ops transfer shares and a proprietary lease through escrow procedures tailored to corporate ownership.
• Insurance: Verify master policy limits and deductibles. For condos, confirm HO-6 coverage needs. For TICs and co-ops, align your policy with the master coverage and your responsibility for assessments. Earthquake exposure is a key consideration in San Francisco.

Governance, dues, and reserves

Condos and HOAs

HOAs operate under Davis-Stirling. Expect recorded CC&Rs, bylaws, rules, meeting minutes, budgets, reserve studies, and regular disclosures in escrow. Dues fund operating costs, insurance, and reserves. Watch for special assessments and any litigation.

TIC agreements

TICs run on contract law. The TIC Agreement outlines decision-making, maintenance, dispute resolution, and sale mechanics. Reserve funding practices vary widely. Cross-default risk can exist if there is a shared mortgage, so review the agreement with your lender and advisor.

Co-op boards

Co-ops function under corporate bylaws, proprietary leases, and house rules. Boards usually have strong approval authority and can influence resale and rental policies. Corporate financial strength and reserves are central to both financing and marketability.

Resale and timelines in Haight-Ashbury

Liquidity and pricing

Condos generally have the broadest buyer pool and the most accessible financing, which can support stronger resale liquidity. TICs often trade at lower prices than comparable condos because financing is limited and the structure is more complex. Co-ops attract a narrower set of buyers who accept board oversight and share ownership mechanics.

Closing timelines and friction points

Condo escrows are usually straightforward, though HOA certificate requests and disclosures can add time. TIC purchases can take longer because lenders and attorneys review the TIC Agreement and underwriting is more specialized. Co-op sales may extend due to board interviews and package reviews.

Local realities in Haight-Ashbury

Haight-Ashbury’s housing stock features many two-to-four unit Victorian and Edwardian buildings and some larger flats. That history is why you still see TICs in older multiunit properties alongside newer condo conversions and a small number of co-ops. Shared circulation, limited off-street parking, and aging systems are common considerations for inspections, valuations, and insurance.

Condo conversion rules, tenant protections, and other local regulations shape what is possible for a given property. San Francisco Planning Department policies govern condo conversions. The San Francisco Rent Board administers tenant protections that can affect conversions and timelines. Understanding these layers helps you plan both purchase and future resale.

Buyer checklist for Haight-Ashbury

1. Confirm financing fit: Get pre-approval for the exact structure you want. For TICs, verify your lender actively lends on TICs and clarify minimum down payment and reserves.
2. Review governance documents: CC&Rs, bylaws, and rules for condos; the full TIC Agreement for TICs; and bylaws, proprietary lease, and house rules for co-ops.
3. Assess reserves and assessments: Read budgets, reserve studies, financials, and special assessment history to gauge potential cost exposure.
4. Check rental and occupancy rules: Owner-occupancy ratios and rental policies can affect personal use and future resale options.
5. Verify insurance coverage: Understand master policy limits, deductibles, and your HO-6 or contents and liability needs. Consider earthquake exposure.
6. Plan for transfer steps: Expect HOA certifications for condos, deeper lender review for TICs, and board approval for co-ops. Build that timeline into your offer.
7. Ask about litigation and past conversions: Seismic or construction defect suits and prior conversions can affect financing and association finances.

Which structure fits your goals

• If you want the easiest financing and broadest resale pool, a condo is usually the best fit.
• If you prioritize price and larger spaces in classic buildings and accept added complexity, a TIC can be a smart move with careful document and lender review.
• If you value stable governance and community rules and are comfortable with board oversight, a co-op may align with your priorities.

Finding the right fit in Haight-Ashbury comes down to matching your risk tolerance, budget, and timeline with the building’s structure and governance. When you weigh financing options, document quality, reserves, and transfer procedures together, you reduce surprises and position yourself for a smooth closing and future resale.

Ready to talk through a specific building or plan your purchase strategy? Connect with Colleen Cotter for tailored guidance, lender introductions, and a clear path from offer to close.

FAQs

What is the main difference between a condo, TIC, and co-op?

• A condo gives you a deed to a unit, a TIC gives you a fractional deed to the whole property with a unit occupancy right, and a co-op gives you corporate shares plus a proprietary lease.

Which Haight-Ashbury option is easiest to finance?

• Condos typically have the broadest financing options. TICs and co-ops have fewer participating lenders and stricter underwriting.

How do down payments compare across structures?

• Condos can qualify as low as 3–5 percent with some programs, while TICs often require 20–30 percent and co-ops frequently fall around 15–25 percent.

Do boards or associations have to approve my purchase?

• Co-ops usually require board approval, many TICs have transfer procedures, and condos may require HOA certifications and project questionnaires.

Will HOA, TIC, or co-op dues be higher in older buildings?

• Dues reflect services, insurance, reserves, and needed repairs, and older Haight-Ashbury buildings with deferred maintenance may face higher assessments.

Can a TIC in Haight-Ashbury be converted to a condo?

• It can be possible, but San Francisco’s conversion rules and tenant protections are strict and can extend timelines and costs.