What Disclosures Are Required When Selling a Home in California?

Buying or selling a home in California involves a detailed disclosure process designed to protect both parties. These forms outline the known condition of the property, potential hazards, and important neighborhood or legal factors that could affect value or safety.

Understanding what's required, and the few situations where a seller is exempt, helps prevent surprises later in escrow and ensures compliance with state law. Below is a plain-English breakdown of the required forms, who's exempt, and what still applies when a home is sold "as-is."

The Core Required Forms at a Glance

The Transfer Disclosure Statement (TDS)

TDS stands for Transfer Disclosure Statement, the form a California seller uses to disclose everything they know about a property's condition. It is one of the most important documents in any California real estate transaction, and it requires the seller to disclose all material facts: anything you know about the property that could affect its value or desirability. This includes:

• Structural issues or past repairs
• Water intrusion, roof, or foundation problems
• Appliances and systems included in the sale
• Any work done without permits

Even if a home is sold "as-is," sellers are still legally required to complete the TDS and disclose known defects.

The Natural Hazard Disclosure (NHD)

The NHD report is prepared by a third-party company and identifies whether the property lies in a designated hazard area, such as:

• Earthquake fault zones
• Flood zones
• Fire hazard severity zones
• Seismic or landslide areas

This report helps buyers understand environmental risks specific to the property's location.

Are Disclosures Required for As-Is Sales?

Yes. Selling a home "as-is" in California does not remove the seller's duty to disclose. "As-is" simply means the buyer agrees to accept the property in its current condition and the seller won't make repairs; it does not waive the legal obligation to tell the buyer what you know.

In an as-is sale, the seller is still required to:

• ✓Complete the Transfer Disclosure Statement (TDS) and disclose all known material defects.
• ✓Provide the Natural Hazard Disclosure (NHD) report.
• ✓Deliver any applicable local and supplemental disclosures.

The practical difference in an as-is sale is about repairs and price negotiation, not about hiding information. Failing to disclose a known defect can expose the seller to liability even after closing, so full disclosure protects both sides.

Which Sellers Are Exempt From Disclosure?

California law exempts a narrow set of transfers from the standard TDS requirement, usually situations where the seller has limited personal knowledge of the property. Common exempt transfers include:

• Court-ordered transfers (probate, eminent domain, bankruptcy)
• Sales by a trustee, conservator, or the executor of an estate
• Transfers by a fiduciary in the administration of a decedent's estate, guardianship, or trust
• Foreclosure sales and transfers from a lender that acquired the property by foreclosure (REO)
• Transfers between co-owners, or between spouses or registered partners (including in a divorce settlement)

Local and Regional Addenda

Beyond state-mandated disclosures, local governments and real estate associations often require additional forms. For example:

• San Francisco's Energy and Water Conservation ordinances
• Marin's point-of-sale sewer lateral and resale inspection requirements
• Local transfer taxes and earthquake retrofit forms

Your agent should guide you through each document, ensuring you understand what applies to your property in San Francisco or Marin County.

Supplemental Disclosures

Other optional or situational disclosures may include:

• HOA documents and financial statements
• Lead-based paint disclosures (for homes built before 1978)
• Megan's Law database notice
• Death on the property (if within three years)

These disclosures add context and transparency, allowing buyers to make informed decisions.

The Bottom Line

California's disclosure system is one of the most comprehensive in the country. The key forms are the TDS, NHD, and relevant local addenda, but many transactions include several more depending on property type and location. As-is sellers still disclose, and even exempt sellers must reveal known material facts.

California Disclosure FAQs