AI startup shares enter some San Francisco home sale talks

Some San Francisco home sellers are asking buyers to include shares of OpenAI or Anthropic in property transactions, according to The New York Times, bringing private artificial intelligence equity into a housing market where prices are already rising. San Francisco home sales in May increased 12.2 percent from a year earlier, while the median single-family home price reached $2.14 million, according to a Homes.com report cited by The New York Times.

The requests point to a local spillover from the artificial intelligence boom into real estate. OpenAI and Anthropic remain private companies, according to The New York Times, but their shares are being treated by some sellers as desirable consideration before either company has gone public.

In a conventional home sale, a buyer pays the agreed price in cash, usually funded through a mortgage, personal liquidity or both. In the transactions described by The New York Times, some sellers are seeking company stock instead of, or as part of, a cash payment. That structure would shift part of the seller’s proceeds from dollars into an ownership claim tied to a private technology company.

The practice remains described as limited to some sellers, and The New York Times did not report that it has become a standard condition across San Francisco transactions. Its emergence, however, illustrates how paper wealth and expectations around future liquidity events can affect local asset markets even before a company lists its shares publicly.

AI wealth meets constrained housing

The San Francisco Bay Area has long linked technology cycles with residential property demand. The current cycle is centered on artificial intelligence companies, particularly OpenAI and Anthropic, both of which are closely watched by investors, employees and policymakers because of their role in developing advanced AI systems.

The New York Times reported that buyers are racing to purchase homes while some sellers are asking for AI company stock rather than cash. The Homes.com data cited by the newspaper show that the market had already strengthened in May, with both transaction volumes and median single-family prices higher than a year earlier.

For sellers, accepting private company shares would mean taking exposure to an asset that is not yet publicly traded. For buyers who hold such equity, using shares in a real estate negotiation could offer a way to convert part of their compensation or investment holdings into property, subject to whatever restrictions apply to the shares. The New York Times did not provide details on completed deal terms, transfer conditions or valuations used in any such arrangements.

The reported requests also underline a broader issue for cities tied to concentrated technology wealth. Gains in private company valuations can affect housing affordability and bidding behavior before those gains are realized in public markets. In San Francisco, Homes.com’s May figures show a market with rising sales activity and a median single-family price above $2 million, even as the AI companies at the center of the latest interest remain privately held.

This story draws on original reporting from NYT DealBook.