This page is excerpted from the State of California Department of Real Estate's booklet on Seller Disclosure. The entire text is available on: Disclosures in Real Property Transactions.


Disclosures Required of a Seller
While these disclosures relate mainly to residential property resales, some may also be applicable to the initial sale of subdivided interests. Remember that sellers and real estate agents must make the disclosures necessary to avoid fraud, misrepresentation or deceit.

A. Disclosures Upon Transfer of Residential Property
Subject to the exemptions listed below, these requirements apply when real property of 1 to 4 dwelling units is transferred by sale, exchange, installment land sale contract, ground lease coupled with improvements, lease with an option to purchase, or any other option to purchase.

In this discussion, the term “seller” means the transferor, the term “buyer” or “purchaser” means the transferee, and the term “transaction” includes the sale or transfer of the property.

These requirements also pertain to the resale of a manufactured home (as defined in Section 18007 of the Health and Safety Code) or a mobilehome (as defined in Section 18008 of the Health and Safety Code) even if classified as personal property, provided that the manufactured or mobilehome is located on real property and is intended for use as a residence.

The following transfers are exempt from these disclosure requirements:

	The sale of new homes as part of a subdivision project where a public report must be delivered to the purchaser or a public report is not required. However, when such new homes are sold through a real estate broker, the broker owes the buyer a duty to disclose any material facts which affect the value, desirability and intended use of the property
	Foreclosure sales
	Court ordered transfers
	Transfers by a fiduciary in the administration of a decedent’s estate, a guardianship, conservatorship, or trust except where the trustee is a former owner of the property
	Transfers to a spouse or to a person or persons in the lineal line of consanguinity
	Transfers resulting from a judgment of dissolution of marriage, or of legal separation, or from a property settlement agreement incidental to such a judgment
	Transfers from one co-owner to another
	Transfers by the State Controller for unclaimed property
	Transfers resulting from failure to pay taxes
	Transfers to or from any governmental entity

1.	Termination Right
2.	Real Estate Transfer Disclosure Statement
3.	Local Option Real Estate Transfer Disclosure Statement
4.	Natural Hazards Disclosure
		Zone A or Zone V (special flood hazard area)
		An area of potential flooding
		A designated very high fire hazard severity zone
		A designated wildland area (state responsibility area)
		An earthquake fault zone
		A seismic hazard zone
5.	Mello-Roos Bonds and Taxes
6.	Property Taxes
7.	Ordnance Locations
8.	Window Security Bars
9.	Industrial Uses
10.	Methamphetamine Contamination

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