Sometimes it takes lower offers to get unreasonable sellers to understand the value of their home but it isn't always the case.

The lending terms on large buildings give you non recourse terms as well as lower terms.

She wants to move to a smaller home so the taxes are lower and to pay off her line of credit.  

Then after 6 months or so when all the properties are stabilized, maybe lower that amount a bit if everything is running smoothly. 

Many of whom are able to lower their monthly living costs by house-hacking.

Great cash flow, lower entry prices.

It just adds extra expense and lowers your credit rating.B. 

Buy in either: - Established, affluent areas: Pacific Heights, Presidio, Cow Hollow, Sea Cliff OR- Tier 2 areas that might become more affluent: Mission Bay, Potrero, Dogpatch, MAYBE "Outer Sunset" (although yes - it's probably in a lower tier than the others) 2) Are we likely to make money if we invest in a cosmetic renovation of an older place or is the cost of labor and materials in SF likely to diminish our potential profits to a negligible amount. 

@Ben Granja, the above advice that a bank will lend 80% of lower of appraised value or purchase price is incomplete. 

FHA does not mean the value will come in any lower.