Since I am finishing my MA at SFSU, I figured I should probably provide some information.
1. My understanding of this is that, while it certainly varies by program, the majority of top tier schools at the very least won't exclude you based on having an MA (although there are rumors that some places view it negatively). Bear in mind, however, that some programs won't give you credit for already having an MA (UC Berkeley for example will only give you credit for two classes from another graduate program), so be sure to check possible future Ph.D programs you are interested in.
2. I can tell you that, at least during my time in the program, the SFSU history department has had a very successful track record with getting students into exceptional schools. Last year there were two admits to Stanford, one to UC Berkeley, one to Columbia, and I think one to UCLA as well. This seems to be somewhat of a down year, but even so there are two people going on to the University of Chicago's Ph.D program next Fall (including me) and then a few people going to other programs (UCSB, and a couple of others I can't recall right now).
3. Funding. As you may know, things are rapidly becoming bleak for graduate students at CSUs. While the department does offer a few fellowships, they are very meager. The vast majority of students in the program use part time jobs/student loans to fund their expenses. In short, you can't really expect much in the way of money from the school.
4. As far as I know, admissions are technically competitive but to be honest I don’t think it's very difficult to get in, assuming you meet the programs requirements.
5. The rigor of the program is difficult for me to accurately address since I have little to compare it to. What you need to bear in mind is that many of the other grad students have no intention of moving on to a Ph.D. As such, they aren't really working towards becoming professional historians, hoping instead to work at a community college or in a high school. This is not to say that seminars are negatively affected, just that there isn't much focus on research (you are only required to take one research seminar, for instance). I will say that I was very impressed by the faculty during my stay and have nothing but positive things to say about them.
If there was one thing I would stress, it would be that your experience at SFSU is what you make of it. Should you attend, I would also suggest you make use of the cross-registration policy with Berkeley. You are allowed to take up to two graduate seminars at the UC and doing so will most definitely enrich your evolution as a scholar. As I mentioned, don't expect to get anything in the way of funding aside from possibly a grant from the state of California that basically only covers tuition (and even that may not survive after next year). If that isn't a deciding factor you, I would absolutely recommend the program. They really do have a pretty impressive track record with sending graduates to great programs and the experience has definitely facilitated my academic growth.
If you have any more questions, I'll try and help
