Since the pandemic appeals on property tax assessments in San Francisco (both commercial and residential) have soared. By state law, the city has two years to resolve the disputes, otherwise the lower claim is automatically adopted and refunds are due.
If the city doesn’t complete an extraordinary mountain of work within a state-mandated timeline, it risks paying out more than $1 billion in property tax refunds. As the city furiously works to prevent that fate, individual taxpayers find themselves playing a financially straining waiting game.
Amid San Francisco’s exodus of residents and office workers, homeowners and commercial landlords have fought to lower their property assessments, and thus, their annual tax bills. The rationale is that reduced property values — particularly in downtown neighborhoods — should be reflected in reduced taxes.
The number of property value appeals has gone from a trickle to a tidal wave. During the 2019/2020 fiscal year, the Assessment Appeals Board processed 1,417 applications. In the 2024/2025 fiscal year, the number surged to 9,281.
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