Seller guide · 9 min read
How to sell a house in California, step by step.
Whether you list with an agent, sell it yourself, or sell directly to a buyer like us, a California sale runs through the same milestones: a purchase agreement, disclosures, a contingency period, and an escrow. Here's what happens at each one, what it costs in San Diego County, and where sellers get surprised.
Step 1
Choose how you'll sell
Three paths, three trade-offs. The right one depends on the house's condition, your timeline, and how much work you want to do.
List with an agent
Highest potential price for a house in good shape, in exchange for commission, prep, showings, and a timeline that depends on the buyer and their lender. California agents are licensed by the Department of Real Estate and must disclose whom they represent.
For sale by owner (FSBO)
You keep the listing commission but handle pricing, marketing, showings, negotiation, and California's disclosure paperwork yourself. Most FSBO sellers still pay a buyer's agent, and many hire an attorney or a transaction coordinator for the forms.
Sell directly to a cash buyer
Fastest and simplest: no prep, no showings, no lender, your closing date. Price reflects the house as-is and the buyer's costs and return. Best fit for houses that need work, tight timelines, or situations (probate, tenants, taxes, unpermitted work) that complicate a listing.
Step 2
Price it and get it ready (or don't)
In a listing, price comes from recent comparable sales adjusted for condition. Overpricing costs time; underpricing costs money. Prep — cleaning, paint, repairs, staging, photos — happens before the listing goes live and is paid out of pocket. San Diego buyers expect a lot for the price, and a house with visible problems draws lowball offers or none.
A direct sale skips this step: the buyer prices the house as it sits, with a walkthrough instead of a listing. Nothing is spent up front.
Step 3
The purchase agreement
General information for California homeowners, not legal, tax, or financial advice. Laws change and every situation differs — confirm with a California attorney, escrow or title company, or tax professional.
The C.A.R. Residential Purchase Agreement
Most California sales use the California Association of Realtors form (the RPA). It sets price, deposit, contingencies and their deadlines, who pays what, and the closing date. Read every box — the defaults are negotiable.
Earnest money deposit
The buyer deposits money with escrow within a few days of acceptance. It's applied to the price at closing; if the buyer cancels after removing contingencies, a liquidated-damages clause can let you keep up to 3% of the price.
Contingencies
The standard form gives the buyer a period — commonly 17 days by default, often negotiated shorter — to inspect, review disclosures, get an appraisal, and secure their loan. Until contingencies are removed in writing, the buyer can cancel and get the deposit back.
Cash offers
A cash buyer needs no loan or appraisal contingency, and a direct buyer who has already walked the house may waive inspection. That's what makes a cash sale certain.
Step 4
Disclosures
California requires more written seller disclosures than almost any state. The core ones for a one-to-four-unit home: the Transfer Disclosure Statement (TDS), the Seller Property Questionnaire, a Natural Hazard Disclosure (NHD) report showing flood, fire, earthquake-fault, and seismic zones, the federal lead-paint disclosure for pre-1978 homes, and water-heater bracing and smoke/carbon-monoxide detector statements. Deaths on the property within three years, neighborhood nuisances, and known unpermitted work are among the material facts that must be disclosed.
Disclosures are about what you know. They apply whether you sell as-is or not, and to most direct sales too. See our disclosures guide for the details.
Step 5
Escrow, title, and closing
Escrow
California uses neutral escrow companies (or title companies acting as escrow) rather than attorney closings. Escrow holds the deposit, collects documents, pays off liens, prorates taxes, and disburses funds. In San Diego County the fee is customarily split between buyer and seller.
Title
The title company searches the public record for liens, judgments, and ownership issues and insures the buyer's title. The seller customarily pays for the owner's policy in Southern California; the buyer pays for the lender's policy.
Signing and recording
You sign the grant deed before a notary — a mobile notary can come to you anywhere. The sale closes when the deed records with the San Diego County Recorder, usually the morning after funds arrive.
Proceeds
Escrow wires your net the day of recording, after paying off the mortgage, any liens, delinquent taxes, the county transfer tax, and closing costs.
Step 6
What you actually net
- Sale price, minus mortgage and lien payoffs
- Commission (listed sale) — negotiable, typically a percentage of price
- Owner's title policy, half of escrow, county transfer tax of $1.10 per $1,000, recording fees
- NHD report, termite inspection and any Section 1 repairs a buyer's lender requires, HOA documents, retrofit items
- Prorated property taxes and any supplemental bill; HOA dues
- Buyer credits negotiated after inspection
- Months of mortgage, taxes, insurance, and utilities while listed and in escrow
FAQ
Questions San Diego homeowners ask
Do I need a lawyer to sell a house in California?
No. California closings run through escrow and title companies. Attorneys get involved for probate, trusts, divorce, partition, or unusual contracts — and it's worth a consultation if anything about your situation is complicated.
How long does a California sale take?
A listed sale with a financed buyer commonly runs 30–45 days in escrow after weeks of prep and marketing. A cash sale is limited mostly by how fast title can be cleared and escrow can close.
Can I sell a house as-is in California?
Yes. The standard contract already sells the house in its present condition, and buyers inspect during their contingency period. As-is doesn't remove disclosure duties.
Who pays closing costs in San Diego County?
By custom the seller pays the owner's title policy, half of escrow, and the county transfer tax; the buyer pays lender's title, their half of escrow, and loan costs. All of it is negotiable in the contract.