Seller

What Must Home Sellers Disclose in California? A Seller's Guide

By Hedda ParashosSeptember 11, 2026

California has some of the strictest seller disclosure requirements in the country. If you're selling a home in La Jolla or anywhere in San Diego, knowing what you're legally required to disclose protects you from lawsuits and keeps your transaction on track.

California requires home sellers to disclose any known material facts that could affect a buyer's decision or the property's value. This applies whether you're selling a condo in La Jolla or a single-family home anywhere else in San Diego County.

What Must Home Sellers Disclose in California?

The foundation is the Transfer Disclosure Statement (TDS), a form the California Department of Real Estate requires for most residential sales. You fill it out yourself, based on your personal knowledge of the property. Your agent then completes a separate section.

The TDS covers:

• Known defects: roof leaks, foundation cracks, plumbing or electrical problems, drainage issues

• Any additions or modifications, and whether they were permitted

• Flooding history, drainage problems, or water intrusion

• Pest infestations or damage

• Shared walls, fences, or driveways with neighbors

• Homeowners association (HOA) rules, fees, and pending special assessments

• Neighborhood nuisances you're aware of, such as noise from a nearby commercial operation

Beyond the TDS, California law requires additional disclosures depending on the property:

• **Natural Hazard Disclosure (NHD):** Sellers must identify whether the property sits in a state-designated fire hazard zone, flood zone, earthquake fault zone, or seismic hazard zone. In San Diego County, fire hazard zones affect a large percentage of properties, so this one matters.

• **Lead-based paint disclosure:** Required for all homes built before 1978, per federal law.

• **Mello-Roos and special taxes:** If the property falls within a Community Facilities District, you disclose that separately.

• **Death on the property:** California requires disclosure if someone died on the property within the past three years.

• **Military ordnance:** If the property is within one mile of a former military training site with live ordnance, you disclose that.

• **Smoke detector and water heater compliance:** Sellers must confirm these meet current California standards.

What Happens If You Don't Disclose?

Buyers can sue for fraud, misrepresentation, or breach of contract if they discover a material defect you knew about and didn't disclose. Courts in California have ruled against sellers who stayed silent on issues they were aware of. Your liability doesn't disappear after closing.

If you're unsure what your property is worth before listing, Find out what your home is worth →

What This Means For You

• Complete the TDS honestly. If you're uncertain whether something qualifies as a defect, disclose it anyway. Silence costs more than transparency.

• Get a pre-listing inspection. It surfaces issues you may not know about, giving you time to fix them or price accordingly.

• Keep records of every repair, permit, and HOA communication. Buyers will ask, and documentation protects you.

• Work with a listing agent who reviews your disclosures carefully before they go to the buyer. Errors on the TDS create liability.

Sellers who handle disclosures thoroughly from the start close faster and face fewer renegotiations. Buyers who receive complete information upfront are less likely to walk away or demand credits later. For more guidance on the selling process in San Diego, visit our seller resources on the blog.

If you want to understand your position before you list, Find out what your home is worth →

Frequently Asked Questions

Do I have to disclose repairs I made years ago?

Yes, if those repairs addressed a known material defect. California courts have found sellers liable for failing to disclose prior damage even when a repair was completed. Document the work and include it in your TDS.

Does an as-is sale in California eliminate my disclosure requirements?

No. Selling as-is means you're not agreeing to make repairs, but you're still legally required to disclose all known material defects. The buyer may still cancel based on inspection results during their contingency period.

What qualifies as a material fact I have to disclose?

A material fact is anything a reasonable buyer would consider important in deciding whether to purchase the property or at what price. Structural issues, water damage, unpermitted work, and legal disputes involving the property all qualify. When in doubt, disclose it.