What Disclosures Am I Required to Make as a Seller in California?
California has some of the most comprehensive seller disclosure requirements in the country. Sellers of residential property are required to disclose known material facts about the property's condition, hazards, and legal status through specific disclosure forms.
Transfer Disclosure Statement (TDS)
Required under California Civil Code Sections 1102-1102.14 for most residential sales of one-to-four unit properties. The TDS requires sellers to disclose known information about the property's condition, including structural issues, plumbing, electrical, roofing, drainage, and other systems.
Natural Hazard Disclosure (NHD)
A required disclosure identifying whether the property is in a state-mapped natural hazard area, including flood zones, fire hazard severity zones, seismic hazard zones, and other natural hazard areas. Third-party disclosure providers may be used where appropriate to help compile and deliver this information.
Lead-Based Paint Disclosure
Required for homes built before 1978. Sellers must disclose known lead-based paint hazards and provide buyers with the federal EPA pamphlet about lead paint.
Megan's Law Disclosure
A notice informing buyers that California's Megan's Law database provides information about registered sex offenders in the area.
What Sellers Must Disclose
Known defects, hazards, and material facts about the property. This includes known issues with the foundation, roof, plumbing, electrical systems, drainage, and environmental hazards. California law also has specific rules regarding deaths associated with a property and how sellers should respond to direct buyer inquiries on this topic. Sellers should obtain transaction-specific guidance when applicable.
What Sellers Are Not Required to Do
Sellers are not required to conduct inspections or tests. However, known issues must be disclosed. Failure to disclose known material facts can result in legal liability.
Important note: Disclosure requirements are complex and vary by situation. This is general educational information, not legal advice. Consult with your listing agent and, if needed, a real estate attorney for guidance specific to your transaction.
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Understanding your disclosure obligations is an important part of the selling process. Contact me to discuss what applies to your situation.
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