What Is An Exempt Seller? | Tip Tuesday

by Homes by Henson 10/12/2021



In previous Tip Tuesdays we have discussed a lot about disclosures. Did you know there are actually some circumstances where the seller is exempt from having to provide certain disclosures to the buyer? One such case would be if the seller is an heir to the property. For example, the person who lived in and owned the home passes away. The new owner who is taking care of the home and is going to be selling it, would be exempt from certain disclosures because they never lived in the home. They might not know all of the information that is usually required to be provided on a regular disclosure check list.

Two main disclosures that are not required to be provided by an exempt seller is a TDS (Transfer Disclosure Statement) and an SPQ (Seller Property Questionnaire.) This, however, does not mean that the seller is exempt from disclosing any known material facts or defects about the property. So there is another form that an exempt seller would fill out, the ESD (Exempt Seller Disclosure.) 

If there is more information about the property that the seller is aware of, there is an addendum that can be applied to this to fill out all the information that is disclosed. We always reccommend that sellers be transparent with buyers and disclose as much as possible. This reduces liability of the seller. 

For more info on this subject, visit our blog post:


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Hi, we're Chantel Henson and Betty Stringer and we'd love to assist you. We are a mother-daughter team, committed to assisting you with your Real Estate needs! Providing you with Local Real Estate updates and advice for Monterey, Santa Cruz, Santa Clara, & San Benito County's real estate market for over 24 years.


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Chantel Henson & Betty Stringer

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***Disclaimer- A Realtor has a fiduciary duty to Buyers and Sellers individually. Our goal is to have a strong knowledge base of contracts. However, we are not Real Estate attorneys. Please contact a Real Estate attorney for more information about how to protect yourself from liability and Real Estate contracts affect you and your situation directly.***