You got a really, really, good deal. Before I moved out here, I looked at numerous tiny 1 bedroom places that were $1275-$1400 and I considered them unlivable. And, when my rent went up by $150 on the house I live in now, I shopped around again. I'm just not seeing prices anywhere near what you're paying for that kind of space. And, I've been pleasantly surprised to find that housing in the city is not that much more expensive...maybe $100 or $200 more per month, for the locations I'm shopping in.
I will say that I'm now kinda shocked by how ridiculous the paperwork is for most SF rentals. They want huge swaths of banking data. Far more than I had to provide for any other place I've ever lived (even buying a house in Austin wasn't this intrusive). I've talked about the topic with my landlord (who wasn't too intrusive when I moved in here, and has been mostly great and hands off), and he said it all boils down to how hard it is to evict someone in California. Since throwing someone out takes as much several months after they stop paying or do something else against the rules, the property owners do everything they can to insure they never have to throw their tenants out. But, I still find it horribly annoying.
My current apartment is only a few hundred feet from the Castro downtown and is around $1200 for a 1000sqft 2 bedroom apartment. I'd like to see someone find something like that in SF for the same price.