Seller disclosures in California
What you're required to disclose, which forms you'll need, and what happens if something gets left out.
What must be disclosed when selling a home in California?
Seller disclosures are legally required documents where sellers inform potential buyers about known issues or defects with the property. California law requires sellers to disclose:
Property defects
Plumbing, electrical, foundation, roof.
Past repairs or remodeling
Work done on the property.
Water damage or mold
Any known moisture issues.
Pest infestations
Including termite problems.
Environmental hazards
Lead paint, asbestos, radon.
Natural hazard zones
Flood, fire, earthquake risks.
HOA fees and restrictions
If applicable to the property.
Legal disputes
Anything related to the property.
The three disclosure forms you'll hear about most
Transfer Disclosure Statement
The TDS is a mandatory California form where sellers list known defects and issues with the property, including appliances, systems, and structural concerns. It's one of the most critical disclosure forms in the sale process.
Natural Hazard Disclosure
The NHD report identifies whether a property is located in specific natural hazard zones, such as floodplains, fire zones, or seismic fault lines. Sellers are legally required to provide this report to buyers.
Lead-Based Paint Disclosure
Homes built before 1978 must include a Lead-Based Paint Disclosure form, informing buyers of the potential presence of lead-based paint, which can pose serious health risks.
Can sellers be held liable for failing to disclose?
Yes. If sellers intentionally fail to disclose known problems, they can face legal action, including being sued for damages after the sale. Full and honest disclosure helps avoid future disputes.
If a buyer finds that the seller knowingly withheld information, they may pursue legal remedies such as contract cancellation, financial compensation, or even a lawsuit for damages.
A strong disclosure package, prepared with legal guidance, is your best defense against a post-sale lawsuit.
Frequently asked questions
What are seller disclosures?+
Do sellers need to disclose deaths on the property?+
Under California Civil Code § 1710.2, sellers are generally required to disclose a death that occurred on the property within three years prior to the buyer's offer. Deaths that occurred more than three years ago typically do not require disclosure.
Two things to keep in mind. First, even outside that three-year window, a seller cannot make a false statement if a buyer asks directly. Second, the statute specifically provides that a death from HIV/AIDS is not a required disclosure.
This is an area where the right answer depends on the specific facts, so it's worth a conversation before your disclosure package goes out.
What happens if a buyer discovers undisclosed problems after the sale?+
How can a real estate attorney help with seller disclosures?+
Disclose it right the first time
A thorough disclosure package protects you long after closing. Let's review yours before it goes out.
