San Diego Home Seller Disclosure Requirements (2026)
San Diego sellers follow California's extensive disclosure requirements. Fire risk, VA loan compatibility, and ADU permit status are the issues most unique to San Diego transactions.
California Required Disclosures
Transfer Disclosure Statement (TDS) — mandatory for all CA residential sales. Complete fully, disclosing all known material facts. San Diego-specific items to address in the TDS:
Natural Hazard Disclosure (NHD) Report — mandatory. Order from an NHD provider ($100–$200). Key San Diego zones:
Lead Paint Disclosure — for pre-1978 homes. Federal requirement.
Smoke, CO, Water Heater — California seller certification required.
Fire Insurance — A Material Issue in San Diego
California's homeowners insurance market has undergone significant disruption. Multiple major carriers (State Farm, Allstate, Farmers) have stopped or limited writing new homeowners policies in California, particularly in fire-risk areas.
For San Diego sellers in fire hazard zones:
Proactive disclosure of insurance status and costs gives buyers the information they need to secure financing.
ADU Permit Status Disclosure
San Diego County has encouraged ADU construction through simplified permitting. ADUs add significant value but only if properly permitted. Disclosure requirements:
Lenders typically will not appraise unpermitted living space. VA appraisers are particularly strict about this. Buyers interested in using the ADU for rental income need to know it's legally rentable.
Wood Destroying Organisms in San Diego
San Diego County has significant drywood and subterranean termite populations, particularly in coastal communities (La Jolla, Mission Beach, Pacific Beach, Point Loma, Ocean Beach) where humidity supports drywood termites. The TDS includes questions about termite history. VA loans require a WDO inspection.
If you've had termite treatment, disclose it and provide documentation. A recent clear inspection report ($75–$150 for the report) reduces buyer anxiety and speeds the VA loan process.
HOA Documents
California requires sellers to provide HOA governing documents to buyers within 10 days of contract. This includes the full package: CC&Rs, bylaws, rules, current budget, financial statements, and meeting minutes. Order an HOA estoppel or certification letter documenting current balance and any assessments.