What is the Transfer Disclosure Statement?

The Transfer Disclosure Statement (TDS) is perhaps the most important paper you will complete when selling your home

Most sellers (other than institutional type) are required by law to disclose facts and defects, which materially affect the value or desirability of their home. The Transfer Disclosure Statement (TDS) helps the seller meet this requirement by providing a standardized format for most basic information. If the seller does not fully disclose, the buyer will be able to cancel the escrow, or worse find out after escrow closes – Full disclosure can reduce or eliminate the possibility of later legal action.

Often, as part of day-to-day living in a home, certain items do not function properly, are overlooked and we just accept them. Some common problems: Does your doorbell work? Is the clock on the oven operating properly? Do all windows and doors open properly? Is there safety glass in the shower and sliding glass doors? Are you aware of asbestos or lead-based paint? How is your water pressure? Are any of your sprinklers broken? If you have a water softener, is it owned or rented? Information about an alarm system should also be noted on the TDS. When in doubt, disclose.