Pretty good summary. Seems like you guys are concerned about saving money and making good contacts - in that case, I'd probably recommend the mission. You'll have to pay like 1000-1500 for a studio, but the location is prime and it's eminently walkable.
You could live in the tenderloin - it's one of the worst districts in the city, but it's close to a lot of stuff and rents are cheap.
Check craigslist. Also, there was mashup posted here earlier. http://maps.google.com/maps/ms?ie=UTF&msa=0&msid=111...
Pretty good summary. Seems like you guys are concerned about saving money and making good contacts - in that case, I'd probably recommend the mission. You'll have to pay like 1000-1500 for a studio, but the location is prime and it's eminently walkable.