Transfer Disclosure Statement (TDS) Explained: What California Sellers Must Disclose
The TDS is the seller's own sworn account of a property's condition, in their own words, on a form set out by law.
The Transfer Disclosure Statement (TDS) is a standard, statutory form that most California home sellers must complete and give the buyer — it’s the seller’s own account of the property’s condition, in their own words, on a form set out by law.
What the law requires
The TDS requirement comes from California Civil Code §§ 1102–1102.19. It applies to most sales of one-to-four-unit residential property. The Code lists specific exemptions — transfers between co-owners, transfers by court order or foreclosure, and a handful of others (Civil Code § 1102.2) — but the large majority of ordinary resale transactions are covered.
The form itself, including its exact required sections, is laid out in Civil Code § 1102.6. It asks the seller to disclose, item by item: which appliances and fixtures are included, whether any of a long list of systems (roof, plumbing, electrical, foundation, and more) has known defects, and any other material facts about the property’s condition the seller is aware of — past repairs, additions without permits, pest damage, and similar.
What it doesn’t cover
The TDS only reflects what the seller actually knows. It isn’t an inspection, and it isn’t a warranty — a seller who genuinely doesn’t know about a hidden problem hasn’t violated anything by not disclosing it. That’s exactly why a buyer’s own inspection contingency matters even when the TDS looks clean.
If it arrives late
Under Civil Code § 1102.3, if you receive the TDS after you’ve already signed your offer, you get a rescission window — 3 days if it was delivered in person, 5 days if mailed — to cancel the contract based on what’s in it.
Frequently asked
Does the TDS replace a home inspection?
No. The TDS is the seller's disclosure of what they know; a professional inspection independently evaluates the property's actual physical condition.
Who fills out the TDS?
The seller, personally — not their agent. An agent may help format it, but the statements themselves must come from the seller's own knowledge.
What if the seller lies on the TDS?
A seller who knowingly discloses false information can be liable to the buyer for resulting damages — this is a question for a real estate attorney if you discover it after closing.
This is educational guidance, not legal advice. Consult a California real estate attorney for legal questions specific to your transaction.