# 10 Things People Miss in SF Real Estate Disclosures (And Why It Matters)

*Real Talks with Ichi — honest insight from someone who’s been navigating San Francisco for over 20 years.*

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Buying or selling a home in San Francisco is exciting — but the disclosure stack? Not so much. It’s thick, technical, and most people just sign where the arrows point.

Here’s the thing: disclosures aren’t just paperwork. They’re where deals can quietly fall apart later — sometimes years later — when something surfaces that should have been mentioned upfront.

After more than two decades in this city and many transactions, here are the 10 disclosure items I see slip through the cracks most often. If you’re buying or selling in SF, this is the stuff worth slowing down for.

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## 1. Unpermitted Work 🛠️

The #1 SF disclosure issue. That converted garage, the extra bathroom, the in-law unit downstairs — were they permitted? Sellers often inherit unpermitted work and don’t even know it. Buyers find out at appraisal, at refinance, or worse, when something goes wrong.

**What to do:** Pull a 3R Report early. Compare permitted use vs. actual use.

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## 2. Death on the Property ⚰️

California law requires disclosure if a death occurred on the property within the **last 3 years**. Anything older isn’t legally required — but if a buyer asks directly, honesty is still the best answer.

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## 3. Neighborhood Noise and Nuisances 🔊

Sellers tend to minimize these. Nearby bars that get loud Thursday night. Construction down the block. Flight paths overhead. Homeless encampments. The SPQ (Seller Property Questionnaire) asks — but vague answers don’t protect anyone.

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## 4. HOA Surprises 🏢

If you’re buying a condo or TIC, the HOA documents tell a story. Pending special assessments. Active litigation. Reserves that haven’t been funded properly. These often get glossed over but can cost buyers thousands.

**What to do:** Read every page of the HOA package. Ask questions about anything unclear.

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## 5. Water Damage History 💧

“Yes, there was a leak, but it was fixed” — and then mold shows up two winters later. Past water issues are a top source of post-close disputes in SF where many homes are over 80 years old.

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## 6. Rent Control Status 🏘️

Is the unit covered by the SF Rent Ordinance? Is there a tenant in place? What’s the legal rent? These details completely change a property’s value, especially for investors. Yet I see them disclosed vaguely all the time.

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## 7. Soft-Story Retrofit ⚙️

SF requires certain wood-frame buildings with soft-story conditions to be seismically retrofitted. Has the work been done? Was it permitted and signed off? Is there a lien tied to it? Don’t assume — verify.

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## 8. 3R Report Discrepancies 📋

The 3R Report (Report of Residential Building Record) is one of the most important documents in any SF transaction. It shows the city’s official record of what’s permitted. When the actual home doesn’t match the 3R — that’s a flag, not a footnote.

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## 9. TIC Agreement Terms 🔑

Tenancy-in-Common is its own world in SF. The TIC agreement has rules about financing, occupancy, what happens if one owner wants to sell, and more. Buyers sometimes sign without fully understanding what they’re agreeing to.

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## 10. Natural Hazard Zones 🌊

SF has it all — liquefaction, flood zones, fire hazard severity zones, earthquake fault lines. The NHD (Natural Hazard Disclosure) report covers these. But too often it gets handed over with no explanation. What does it actually mean for your insurance? Your future renovation plans? That conversation matters.

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## The Real Talk Takeaway

Most disclosure problems don’t happen because the forms are bad. They happen because **nobody slows down to actually talk through them**.

If you’re a seller — don’t just fill out the forms quickly to get them done. Walk through each section with your agent. If something feels gray, disclose it. Over-disclosing protects you legally and builds trust with buyers.

If you’re a buyer — don’t sign off on disclosures without asking questions. Every “no” answer on an SPQ is a potential conversation. Every line item on a 3R is a verification opportunity. This is the moment to be picky.

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## Born in Korea. Built in SF.

I’ve spent over two decades getting to know this city — its neighborhoods, its rules, and yes, its paperwork. If you’re navigating an SF transaction and want someone who’ll walk you through every page (in English or Korean), I’d love to help.

Reach out anytime. No pressure. Just real talk.

**Ichi Halvorson, REALTOR®**

Golden Gate Realty & Finance | DRE #01973163

[goldengate365.com](https://goldengate365.com) | @ichi.sf.realtor

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*This article is for general educational purposes and does not constitute legal advice. For specific questions about your transaction, consult a licensed real estate attorney.*