What to Disclose When Selling a House: 2026 Guide

When you sell a home, you must disclose all known material defects and any federally required hazard information to the buyer. The six categories courts and real estate disclosure laws recognize are: Material Defects, Lead Paint, HOA Rules, Environmental Hazards, Deaths and Stigma, and Legal Encumbrances. Sellers who skip or minimize disclosures face rescission, fraud lawsuits, and federal fines up to $18,364 per violation for lead paint alone.

Disclosure applies only to conditions you actually know about. You are not required to investigate defects you have no knowledge of, and constructive knowledge (“you should have known”) does not trigger the duty to disclose in most states. That distinction answers the fear driving most disclosure searches: you are reporting, not confessing.

This guide covers what you must legally disclose, the federal lead paint rule that applies in all 50 states, structural and environmental hazards, California’s specific forms, what not to say during a sale, what you must physically leave behind, and the consequences of getting disclosure wrong.

What Do You Have to Disclose When Selling a House?

According to NAR’s seller disclosure consumer guide, all 50 states have some form of mandatory seller disclosure requirement. The federal floor is lead paint. State law adds more. Here are the six categories that trigger seller disclosure requirements nationally:

1. Material Defects, any known physical condition that could affect the property’s value or a buyer’s decision to purchase, including structural damage, roof failure, and water intrusion.
2. Lead Paint, mandatory federal disclosure for all homes built before 1978 under Title X, regardless of state law.
3. HOA Rules, CC&Rs, fees, pending special assessments, and restrictions that govern the property.
4. Environmental Hazards, mold, asbestos, radon, termites, underground storage tanks, and soil contamination.
5. Deaths and Stigma, deaths caused by a property defect, violent crimes, and stigmatized property conditions, subject to state-specific rules.
6. Legal Encumbrances, liens, easements, zoning violations, and pending litigation affecting the property.

Disclosure applies to known defects only

You disclose what you know. If a condition is genuinely unknown to you, you are not required to disclose it. Write “unknown” on the seller’s disclosure form rather than guessing. Courts distinguish between active concealment (never acceptable) and honest ignorance (generally protected).

Material defect: the legal threshold

A material defect in real estate is any known condition a reasonable buyer would consider significant when deciding whether to buy or at what price. Foundation cracks, active roof leaks, flooding history, and faulty electrical systems cross this threshold. Scuffed paint and carpet wear do not. When in doubt, disclose. The cost of a disclosed repair negotiation is almost always lower than the cost of a post-closing lawsuit.

Federal vs. state disclosure requirements

Federal law sets the minimum floor, lead paint disclosure under Title X, which applies nationwide. State real estate disclosure laws layer additional requirements on top of that minimum. California mandates a Transfer Disclosure Statement. Texas requires the TREC Seller’s Disclosure Notice. States without a mandated form still require sellers to disclose material facts in writing, typically using a form from the local association of Realtors.

Federal Lead Paint Disclosure Law

The federal lead paint disclosure rule for home sales applies to every residential property built before 1978, in every state, with no local opt-out. This is the one disclosure requirement that follows the property rather than the jurisdiction.

Which homes trigger the federal rule

Any home built before 1978 triggers the lead-based paint disclosure requirement under Title X. Exemptions are narrow: foreclosure sales, zero-bedroom dwellings (studios counted by sleeping loft, not bedroom count), and housing certified completely lead-free by a certified inspector. If you are selling a post-1978 home, this section does not apply.

The Lead Disclosure Addendum form

Sellers must complete a disclosure addendum specifically covering lead-based paint and lead-based paint hazards. The form requires you to state what you know, identify any lead test results you have, and attach any records or reports in your possession. You must also provide buyers with the EPA pamphlet “Protect Your Family From Lead in Your Home.” Both requirements apply to sales and leases.

10-day buyer inspection window

Buyers have a 10-day window to conduct a lead paint inspection or risk assessment before the purchase contract becomes binding. Buyers can waive this right in writing, but the seller cannot waive it on their behalf. Keep signed copies of all lead disclosure documents. Violating the federal lead rule carries fines up to $18,364 per violation under HUD’s current enforcement schedule.

Structural and Systems Defects to Disclose

Structural and mechanical defects are the highest-volume category on any seller’s disclosure form. The operational standard is not just “yes/no” but documentation: dates, contractor names, repair receipts, and any warranties for past work. That paper trail is what distinguishes a defensible disclosure from a legal liability.

If you are selling an Illinois property with structural issues, selling a distressed home in Illinois covers additional options available to sellers who prefer to skip the repair process entirely.

Defect Type	What to Disclose	Documentation to Attach
Foundation cracks or settling	Location, size, when first noticed, repairs made	Contractor invoices, engineer reports
Roof condition or leaks	Age of roof, known leaks, repairs, replacement date	Contractor receipts, warranty
Plumbing issues	Known leaks, pipe material (galvanized, polybutylene), sewer backups	Plumber invoices, inspection reports
Electrical system	Panel age, known faults, unpermitted wiring	Electrician reports, permit records
HVAC systems	Age, known failures, service history	Service records, warranty
Water intrusion or flooding	History of basement flooding, standing water events, dates	Repair receipts, contractor notes
Unpermitted work	Any renovation or addition without a permit	Building department records if obtained

Based on standard seller disclosure form requirements across states with mandatory disclosure laws. Verify current form requirements in your state before listing.

Foundation and roof issues

Disclose any known foundation cracking, settling, drainage problems, or structural movement. For the roof, disclose the age, any known leaks, and any repairs made in your ownership period. “I had it patched in 2021” with an attached receipt is far better than “I think it’s fine.”

Plumbing, electrical, and HVAC

Known plumbing leaks, older pipe materials (polybutylene was used widely from the late 1970s through mid-1990s and is prone to failure), electrical panel issues, and HVAC system failures belong on the seller’s disclosure form. Disclose the approximate age of major systems if you know it. A buyer making an offer with full knowledge of a 22-year-old furnace is less likely to walk after inspection than a buyer who discovers it for the first time.

Unpermitted renovations and additions

Unpermitted work must be disclosed in all states that require a standard disclosure form. Room additions, garage conversions, and basement finishing completed without permits are the most frequently flagged items, particularly on California disclosure forms. Buyers may have difficulty financing a home with unpermitted work, and the local municipality may require the work to be brought up to code or removed. Disclosing upfront prevents post-closing liability and gives buyers the chance to budget for permitting costs.

If you are weighing whether to address a window replacement before listing, replacing windows before selling breaks down when the expense pays off versus when disclosure and a price adjustment is the smarter path.

Water damage and basement flooding

Water damage disclosure must cover history, not just current condition. Per Oregon disclosure guidance from Harris Sliwoski, the standard is to “provide dates, receipts, and any warranties if available.” If a seller in the SERP #2 Reddit scenario disclosed observed standing water in an addendum, attaching contractor notes, the date it was observed, and any remediation steps taken would satisfy disclosure obligations in Oregon and is consistent with disclosure best practices in most states.

Environmental and Health Hazards to Report

Environmental hazard disclosure follows the same rule as structural defects: disclose what you know. You are not required to test for hazards you have no reason to suspect, but visible conditions generally count as known.

Mold, asbestos, and radon

Mold disclosure is required under the material defect standard in most states. According to Nolo’s seller obligations guide, courts generally treat visible mold in basements, attics, and under sinks as known even without formal lab testing. California’s TDS form includes a specific mold disclosure section.

Asbestos disclosure is required if you are aware of its presence. Most states do not require sellers to test before disclosing, but if you know asbestos-containing materials exist in the home (common in popcorn ceilings, floor tiles, and pipe insulation in pre-1980 construction), that knowledge triggers the duty to disclose.

Radon disclosure rules vary by state. If you have had a radon test and the result was at or above 4 pCi/L (the EPA action level), that result is a material fact and must be disclosed.

Pest infestations and termite damage

Known termite infestations and wood-destroying insect damage are required disclosures in states with high termite risk, including Florida, Texas, and Georgia. If you have had a pest treatment in the past, disclose the date, the company, and whether a warranty is transferable.

Underground storage tanks and contamination

If you are aware of an underground storage tank on the property, whether active or abandoned, disclose it. The EPA and many state environmental laws require disclosure of known tanks regardless of their operational status. Contamination from a leaking tank is a material defect that can affect the property’s insurability and financing.

Legal, Financial, and HOA Disclosures

Legal encumbrances are the category most often overlooked by sellers because they are not visible during a walkthrough. They are, however, binding on buyers, which is exactly why disclosure is required.

Liens, encumbrances, and easements

Disclose any known liens against the property (mechanics’ liens, tax liens, judgment liens), easements that affect how the land can be used (utility easements, shared driveway agreements, right-of-way designations), and any pending litigation involving the property. Buyers who discover an undisclosed lien at closing have grounds for rescission.

HOA rules, fees, and pending assessments

HOA disclosure is required in most states where HOA-governed properties are prevalent, including Florida, Texas, California, Arizona, and Nevada. Sellers must provide the HOA’s CC&Rs, current fee schedule, financial statements, and any pending special assessments. A buyer who purchases without knowing about a $12,000 pending roof assessment has a strong non-disclosure claim.

Zoning violations and land-use restrictions

If you are aware of any zoning violations on the property, a non-conforming use that predates current zoning, or land-use restrictions beyond standard zoning (deed restrictions, conservation easements, historic overlay zones), these must be disclosed. California sellers must additionally disclose Mello-Roos and special tax districts in the TDS and Supplemental Statutory Disclosure per dre.ca.gov guidance.

Deaths, Crimes, and Stigmatized Property

Whether you must disclose a death depends on your state and the circumstances. There is no single national rule.

When death on the property must be disclosed

Texas requires sellers to disclose if a death was caused by a property defect, such as carbon monoxide poisoning from faulty venting, per Texas disclosure rules from HAR. If there is a material condition tied to the death, disclosure is mandatory. Deaths from natural causes in Texas do not require disclosure.

California requires disclosure of any death in the home within the past 3 years, with one statutory exemption: deaths attributable to AIDS are not required to be disclosed under California Civil Code. Consult a real estate attorney in your state for current rules before relying on any specific exemption.

Most states apply a general “material fact” standard: if the death or associated circumstances would affect a reasonable buyer’s decision, disclose it.

Violent crimes and sex offender registries

Sellers are generally not required to disclose proximity to registered sex offenders. Buyers can research the National Sex Offender Public Website (NSOPW.gov) independently. Violent crimes committed on the property itself are treated differently and may trigger disclosure in states with explicit stigmatized property statutes.

State-by-state rules on stigmatized property

Stigmatized property refers to homes where a psychological impairment, rather than a physical defect, may affect buyer perception.

State	Death / Crime Disclosure Rule
California	Deaths must be disclosed if within past 3 years; AIDS deaths exempt
Texas	Disclose only if death was caused by a property defect or material condition
Florida	No statutory requirement to disclose stigma; material fact standard applies
New York	Seller discretion on non-physical stigma; agent must not actively misrepresent
Georgia	No specific stigmatized property law; material fact standard applies
Alaska	No requirement to disclose stigmatized property
South Carolina	No affirmative duty to disclose; misrepresentation prohibited
Arizona	Explicitly excludes stigmatized conditions from required disclosure

State laws change. Verify current disclosure rules with a licensed real estate attorney in your state before listing.

What to Disclose When Selling in California

California has the most detailed seller disclosure requirements of any state. California Civil Code §§ 1102 through 1102.18 governs residential disclosure for 1 to 4 unit properties. Sellers who skip any required form can face rescission and liability.

Transfer Disclosure Statement (TDS)

The Transfer Disclosure Statement (TDS) is California’s mandatory seller form covering property condition, systems, hazards, neighborhood facts, and any damage the seller is aware of. Both the seller and the listing agent must complete their respective sections independently. The California Transfer Disclosure Statement requirements are administered by the California Department of Real Estate (DRE).

The TDS must be delivered before title transfers. The California Association of Realtors’ standard practice is delivery within 7 days of offer acceptance, though the statutory deadline is pre-close delivery. Sellers who deliver late give buyers grounds to cancel.

TDS California covers: structural issues, room additions, permits, appliance condition, known defects, neighborhood nuisances, and any litigation or legal encumbrances affecting the property.

Natural Hazard Disclosure report

A Natural Hazard Disclosure (NHD) report is required if the property sits in a mapped flood zone, fire hazard severity zone, earthquake fault zone, seismic hazard zone, or state responsibility area for wildfire. Sellers typically order this report through a third-party NHD company. The report is prepared by the NHD company from publicly available hazard maps and is not a seller-authored document.

Supplemental disclosures: Mello-Roos, HOA

California sellers must also provide HOA and CID (common interest development) documents, Mello-Roos special tax disclosures, and any applicable supplemental statutory disclosures covering military ordnance locations, industrial facilities, and airport influence areas. These are in addition to, not a substitute for, the TDS.

What Not to Say When Selling a House

The phrases that damage your position fall into two categories: statements that create legal liability, and statements that weaken your negotiating leverage. The six to avoid, per realtor.com’s guidance on seller communication:

1. “The house is in perfect condition.” This sets expectations that any inspection finding will contradict. It can be framed as misrepresentation if a significant defect surfaces.
2. “We’re selling it as-is.” Saying this verbally before negotiation signals to buyers that you are hiding something. An as-is home sale still requires a completed seller’s disclosure form. “As-is” means you will not make repairs, not that you are withholding information.
3. “We were going to fix the [issue].” This plants the idea of a problem buyers might not have noticed and raises questions about why it was never addressed.
4. “We really need to sell quickly.” Disclosing urgency (divorce, job loss, financial pressure) gives buyers leverage to lower their offer significantly.
5. “The house has been on the market for a while.” Buyers who learn this independently will negotiate harder. Sellers who announce it first lose pricing power before negotiations begin.
6. “The neighbors are [any characterization].” Negative comments about neighbors can expose sellers to fair housing liability and give buyers a reason to walk.

Statements that invite liability

Any statement about condition that goes beyond what you can document creates legal exposure. “The roof is fine” is an unverifiable representation. “The roof was replaced in 2019, here is the receipt” is a documented fact.

Phrases that weaken your position

Motivation, urgency, and market history are negotiating variables. Disclosing them without prompting benefits the buyer, not you.

When “as-is” signals backfire

Using the phrase “as-is” without a completed property condition disclosure suggests to buyers that you know of problems you do not intend to disclose. In most states, “as-is” language in the listing does not reduce your disclosure obligations. Complete the seller’s disclosure form fully before any “as-is” language appears in marketing materials.

What You Legally Must Leave When Selling

The core rule is simple: fixtures stay, personal property goes. The purchase agreement controls any exceptions.

Fixtures vs. personal property: the rule

A fixture is any item permanently attached to the property by bolts, screws, nails, glue, or cement. Once something is classified as a fixture, it transfers with the home unless the purchase agreement explicitly excludes it. Personal property is anything free-standing or portable. It leaves with you unless you negotiate otherwise.

Fixtures vs. personal property matters most for items in the gray zone: refrigerators, washer/dryer units, TV mounts, and decorative light fixtures sellers want to take with them. If you intend to take it, exclude it in writing before the contract is signed.

What counts as a fixture

Items that stay with the property at closing:

• Built-in appliances (dishwasher, oven/range, microwave installed in cabinetry)
• Hardwired light fixtures and ceiling fans
• HVAC systems, water heaters, and whole-house generators (if permanently wired)
• Bathroom fixtures (toilets, sinks, bathtubs, shower enclosures)
• Built-in cabinetry and shelving
• Window treatments attached to the wall (blinds, shades, shutters, curtain rods)
• Doors and windows
• In-ground landscaping (trees, shrubs, in-ground irrigation systems)
• Garage door openers and all remote controls
• All sets of keys and security system access codes

Items that go with the seller:

• Free-standing refrigerators and washer/dryer units (unless negotiated to stay)
• Portable shelving and furniture
• Hanging mirrors and artwork (unless affixed to the wall structurally)
• Potted plants and moveable garden elements
• Curtains themselves (the fabric panels, not the hardware)

How the purchase agreement controls

The purchase agreement is the final word on what stays and what goes. If you want to take the dining room chandelier (a hardwired fixture), exclude it in the contract before signing. If you want to leave the refrigerator (personal property), add it to the included items list. Oral agreements do not count. Use a written addendum if negotiated after the initial offer.

For fixtures vs personal property questions that arise late in a transaction, a brief email exchange confirming the agreement in writing is sufficient documentation to prevent disputes at closing. Per Nolo’s fixture rules guide, the written purchase agreement always supersedes default fixture law.

Consequences of Not Disclosing Properly

Sellers who omit known material defects face three categories of risk: deal cancellation, post-closing lawsuits, and federal fines.

Rescission and deal cancellation

A buyer who discovers an undisclosed material defect before closing can cancel the contract and recover earnest money. In states with strong disclosure laws, the buyer may also recover costs incurred during due diligence (inspection fees, appraisal costs, legal fees). Rescission is available even after closing in cases of fraudulent concealment.

Fraud, misrepresentation, and lawsuits

Post-closing lawsuits are the most common consequence of inadequate disclosure. Buyers who discover an undisclosed defect can sue for damages equal to the cost of repair, or for rescission of the contract. Federal lead paint violations carry fines up to $18,364 per violation per the HUD lead hazard control penalty schedule. Real estate agents can also face liability for defects they knew about and did not disclose.

Why full disclosure protects the seller

A complete disclosure creates a documented paper trail that is your primary defense against any post-closing claim. A signed acknowledgment from the buyer that they received your completed seller’s disclosure form, reviewed it, and proceeded to close is extremely difficult to overcome in litigation.

In cash buyer transactions on iBuyer.com’s marketplace, sellers who disclosed known defects upfront rarely lost the deal. Cash buyers evaluate disclosed conditions as part of their offer pricing rather than using them as a walkaway trigger after inspection. Financed buyers, by contrast, often exit during the home inspection contingency window when an inspection surfaces something their lender’s appraiser flags. If you have a significant disclosed condition, the buyer type matters as much as the disclosure itself.

Sellers who are weighing how to handle significant known conditions before listing can review selling a house in poor condition for a direct comparison of traditional listing versus cash sale outcomes.

Seller Disclosure Requirements by State

Seller disclosure requirements vary significantly by state. Transfer taxes, required form types, and timing rules all differ. If your state has a dedicated disclosure guide, select it below for local specifics.

Sellers in New York with disclosure-worthy conditions can also review selling a distressed home in New York and selling a distressed home in North Carolina for state-specific options when a traditional listing is not the right fit.

Disclosure Protects You More Than It Hurts You

The fear most sellers carry into the disclosure process is that full honesty will kill the deal. The evidence points the other way. A buyer who closes with a fully disclosed property has very little basis for a post-closing claim. A buyer who discovers an undisclosed defect six months after closing has every basis for one.

Disclose what you know. Document the disclosure with signatures and date stamps. If you have known defects and a financed buyer’s inspection contingency concerns you, compare your options: cash buyers evaluate disclosed conditions as a pricing variable, not a walkaway trigger. The disclosure does not have to end your sale.

Disclosing known defects is the legally required move and the financially smarter one. On iBuyer.com’s marketplace, you receive competing cash offers from buyers who already account for disclosed conditions in their pricing. There are no inspection contingencies to negotiate around and no agent commissions to absorb. Disclose what you know, compare the offers, and choose the timeline that works for you. See what your home is worth from cash buyers who will not walk because of what you have disclosed.

Frequently Asked Questions