Once the contract is signed, the buyer receives a package of documents that tends to be read in a hurry — and it is where much of their protection lives. Two forms lead the list, and Sammy Veicer names both in the episode: TDS and SPQ.

They are questionnaires filled in by the seller, not by the agent and not by a company. The seller answers about the house they lived in, and signs.

TDS: what the law requires

The Transfer Disclosure Statement is not market custom — it is law. Civil Code §1102 and following require the seller of most residential properties with one to four units to deliver the completed form to the buyer.

It walks through the house system by system and asks what the owner knows: structure, roof, plumbing, electrical, water intrusion, plus exterior items and situations affecting the use of the property. "I do not know" is among the possible answers — and it is a legitimate one. What the law does not allow is "I know and I will not say."

It is exactly what the episode describes: "this happened in my house, this did not happen in my house, or I do not know, I have no knowledge of it."

SPQ: the questionnaire that closes the gaps

The Seller Property Questionnaire is a form from the association of REALTORS®, not a legal requirement — and it exists precisely because the TDS alone left questions out. It is longer and more specific, and it goes into ground the statutory form does not cover well:

• Remodels and construction — were they done with permits? Did they pass city inspection?
• Claims and insurance events on the property.
• Disputes with neighbors, with the homeowners association or in court involving the property.
• Noise, smell, nuisance from the surroundings.
• Pests, mold, animals.
• Deaths that occurred on the property in the previous three years — an item whose disclosure obligation has a specific provision in California law.

For the buyer, the SPQ tends to be the most revealing document in the package. It is where the unpermitted work the city can order undone shows up, and the boundary dispute that comes with the deed.

What happens to whoever hides something

Here is why these forms work. The episode sums it up: "if you do not disclose and tomorrow the buyer finds out, you can be sued."

That is not a figure of speech. Civil Code §1102.13 establishes that anyone who willfully or negligently fails to perform the duty of disclosure is liable for the actual damages suffered by the buyer. Sold with a cracked foundation knowing about it, and the buyer spent $40,000 to fix it? That is the amount pursued in court.

In cases of intentional concealment, the dispute can go beyond direct damages — a fraud claim is possible, with the prospect of punitive damages and even rescission of the deal.

And there is a myth that has to fall: selling as is does not waive disclosure. The clause limits the obligation to repair. It does not authorize hiding what is known, and the statutory TDS requirement cannot be waived for the parties' convenience.

Disclosure does not replace inspection

The two documents answer different questions, and it is useful to keep that clear:

• TDS and SPQ say what the seller knows. They cover the history — what has happened in that house, what has been repaired, what has been disputed.
• The inspection says what a technician finds today. It covers the present, including what the seller genuinely does not know.

One does not cover the other. The seller may have lived there ten years without knowing the sewer line is compromised — there is no omission, there is ignorance. Only the camera finds it.

How to read the package without getting lost

• Look for "I do not know" in a series. One or two is normal. A run of them from a seller who lived in the house for years calls for a written question.
• Cross-check with the report. An item that appears in the inspection and not in the disclosure deserves an explanation.
• Ask for the permits on any declared work. "Remodel done" without permits is a liability.
• Keep everything signed. These documents are the proof, years later, of what was and was not reported.
• Watch the timing. Delivery of the TDS opens a right of cancellation for the buyer within the statutory period, if delivery occurs after the contract is signed.

This text is informational and is not legal advice. Omission cases depend on evidence and on review by a lawyer.

Sources and verification

• California Civil Code §1102 and following — obligation of the Transfer Disclosure Statement in transfers of residential properties with 1 to 4 units.
• California Civil Code §1102.13 — liability for actual damages of whoever, willfully or negligently, fails to perform the duty of disclosure.
• Settled understanding that an as is sale limits the repair obligation but does not remove the legal duty to disclose known material defects.
• California Association of REALTORS® — the Seller Property Questionnaire (SPQ) form as a contractual complement to the TDS.
• Transcript of episode CM018 of the Cadê Moradia podcast, with Sammy Veicer.

Watch this part of the episode:

Mandatory Disclosure (TDS and SPQ) — starting at 15:54 · CADÊ BRAZIL