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Real Estate Questions and Answers
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238 questions answered
Selling a home
Who pays the transfer tax in Sacramento, the buyer or the seller?
It depends on your contract and local custom. The City of Sacramento says buyer and seller can agree in escrow on who pays the city tax, and the buyer is responsible if it goes unpaid. Your purchase contract spells out who pays the county tax.
Is there a standard real estate commission in California?
No. Commissions are negotiable and not set by law. You agree on the fee with the brokerage you hire, in writing, before you list.
Does every home in Sacramento pay the city transfer tax?
No. Only homes inside City of Sacramento limits pay it. Many homes with a Sacramento mailing address are in unincorporated county, so the parcel has to be checked.
Do I pay any selling costs before closing?
Some. Prep, repairs, cleaning, staging and a pre-listing inspection are paid when the work is done. Most other costs, including the commission, transfer tax and loan payoff, come out of your proceeds at closing.
Will I owe capital gains tax when I sell my house?
Many sellers of a main home don't. IRS Tax Topic 701 says you may exclude up to $250,000 of gain, or $500,000 on a joint return, if you meet the ownership and use tests. Ask a CPA about your own situation.
Can the HOA charge me to sell my home?
It can charge a reasonable fee for the documents the buyer must receive. California Civil Code section 4530 says that fee must be based on actual cost, itemized and billed separately. Ask your management company for its fee estimate early.
How do I figure out my net proceeds?
Start with a realistic sale price and subtract the commission, transfer taxes, escrow and title charges, your loan payoff, your share of property tax, HOA charges and any repairs or credits. We'll build that net sheet with your real numbers.
What is a comparable sale?
A comparable sale, or comp, is a recent sale of a home similar to yours in location, size, layout and condition. Comps are the main evidence agents and appraisers use to set and support a price.
Is a CMA the same as an appraisal?
No. A CMA is your agent's analysis of comparable sales to recommend a list price. An appraisal is a licensed appraiser's opinion of value, usually ordered by the buyer's lender during escrow.
Should I price high and leave room to negotiate?
Usually not. A high price can keep buyers from touring at all, and an appraisal may not support it. A price close to the evidence tends to draw more buyers and stronger offers.
Why is my online estimate different from my agent's number?
Online estimates can't see your home's condition, updates or exact location, and they may miss recent sales. Your agent's number comes from a walk-through and adjusted comps.
Do pending sales count when pricing a home?
They don't show a final price yet, but they show what buyers are agreeing to now. We look at sold, pending and active listings together.
Should I fix things before I get a price?
No. Get the price first. Then we can show what each repair would cost and what it might change, so you only spend money that is likely to come back.
How soon should I lower the price if my home isn't selling?
There's no set rule. Look at showings, feedback and any new sales nearby. If buyers are touring but not offering, or not touring at all, it's time to revisit the price or the presentation.
How long does escrow take in California?
It's set by the purchase contract. Loan-financed buyers usually need time for the appraisal and underwriting, and cash buyers may close sooner. You and the buyer agree on the date up front.
What is the default contingency period in a California purchase agreement?
C.A.R.'s guides say its Residential Purchase Agreement defaults to 17 days after acceptance for the buyer to remove the standard contingencies, unless the parties agree to a different number. Contingencies are removed in writing.
What does days on market mean?
It's the time from when a home is listed to when the seller accepts an offer. It does not include escrow.
Can I stay in my house after it sells?
Often, yes, if the buyer agrees. A rent-back lets you stay for a set time after closing under a written agreement. The buyer's loan may limit how long.
Is spring a good time to sell in Sacramento?
Many buyers shop in spring and summer, but a well-prepared, well-priced home can sell in any season. Your own timeline often matters more than the calendar.
What causes a sale to fall through?
Common reasons include a low appraisal, inspection findings, a buyer's loan problem or a title issue. Preparing the home and paperwork before listing reduces the risk.
How long does it take to sell an inherited house?
It depends on whether the home is in probate or a trust, its condition and how much needs clearing out. The paperwork for authority to sell often sets the pace, so it's worth starting early.
Can a buyer waive the Transfer Disclosure Statement?
No. California Civil Code section 1102 says a waiver of these requirements is void, and section 1102.1 says the TDS can't be waived in an as-is sale.
Do I have to disclose a death in my house?
California Civil Code section 1710.2 says you don't have to disclose a death that happened more than three years before the offer. It doesn't protect an intentional misstatement if a buyer asks directly, and it doesn't excuse disclosing physical damage.
Do probate and trust sales need disclosures?
Many are exempt from the TDS form under Civil Code section 1102.2, with an exception for some revocable trusts. Known material facts generally still must be disclosed. Ask the estate's attorney what applies.
How long does a buyer have to cancel after getting disclosures?
Under Civil Code section 1102.3, if the TDS arrives after the offer, the buyer has three days after delivery in person, or five days after mailing or agreed electronic delivery, to cancel in writing.
Is lead paint disclosure required on every home?
It applies to homes built before 1978. The EPA requires the seller to give its pamphlet, disclose what they know, provide any reports and give the buyer 10 days to test unless the buyer agrees otherwise.
Who orders the Natural Hazard Disclosure report?
Escrow usually orders it from a company that checks the state and federal hazard maps for your parcel. Your purchase contract says who pays.
What if I don't know the answer to a disclosure question?
Say you don't know. Disclose what you do know, attach any reports you have and avoid guessing.
Who pays for the home inspection when selling a house?
The buyer usually pays for their own inspections. A seller who wants a pre-listing inspection pays for that one.
What does Section 1 mean on a California termite report?
Section 1 items show visible evidence of active infestation or infection, or damage from it. Section 2 items are conditions likely to lead to it, with no active evidence found.
Do I have to fix everything the buyer's inspector finds?
No. Repairs are a negotiation. You can agree, offer a credit, counter or decline. The buyer may cancel if their inspection contingency is still open.
If the buyer cancels after inspection, do I have to tell the next buyer?
Generally, yes. Once you know about a material problem, you generally have to disclose it. Talk with a real estate attorney if you're unsure how a finding applies.
Is a pre-listing inspection worth it?
It often is for older, vacant or inherited homes. It lets you fix, bid or price around problems before a buyer finds them. The trade-off is the cost and the duty to disclose what you learn.
Should I do a sewer line inspection before selling?
For older homes, it can be worth it. Buyers often order one, and sewer repairs can be costly. Knowing first lets you plan instead of reacting in escrow.
Can I give a credit instead of doing repairs?
Often, yes. A credit lets the buyer handle repairs after closing. The buyer's lender may limit how much a seller can credit, so check before you agree.
Is staging worth it in Sacramento?
Staging helps buyers picture themselves in the home and makes photos look better. It doesn't always mean renting furniture. Often the most useful step is editing and arranging what's already there.
Should I remodel my kitchen before selling?
Usually not. Big remodels rarely return their full cost before a sale. Cleaning, repairs, paint and lighting often change how a kitchen photographs more than a remodel would.
What should I fix first before listing?
Start with leaks, broken items, safety issues and anything an inspector is likely to flag. Then cleaning, paint and curb appeal.
Can I sell my house without fixing anything?
Yes. You can sell in current condition. You still have to disclose known material problems, and the price will reflect the work a buyer expects to do.
Is virtual staging allowed?
It's commonly used, but the listing should make clear that photos are virtually staged. Buyers will still see empty rooms in person.
Who pays for staging and prep?
The seller pays. We show you each vendor cost before anything is ordered, and nothing is scheduled until you approve it.
How long does prep take?
It ranges from a few days for a clean, lightly lived-in home to several weeks or more for a full clean-out and repairs. Our 30-day home prep plan shows a typical order.
Do buyers and sellers sign at the same time in California?
Usually not. In California escrow, each side signs separately, often on different days. The sale closes when the deed records with the county.
What is close of escrow?
It's the moment the deed is recorded with the county. After that, the buyer owns the home and escrow pays the seller and everyone else on the closing statement.
How soon before closing do buyers get the Closing Disclosure?
The CFPB says the lender must give it to you at least three business days before you close on the loan.
When does the seller get the money?
After the deed records and escrow pays the loan and costs. Timing depends on the escrow company and whether you're paid by wire or check, so ask your escrow officer before you sign.
What should I bring to sign closing documents?
A current government photo ID, any papers escrow requested, such as a trust certification, and payout or wire instructions you've confirmed by phone.
Can I sign closing papers if I live out of state?
Yes. Escrow can arrange a mobile notary where you are. Set it up early so the originals get back in time.
Who pays for title insurance in California?
The California Department of Insurance says it's set by local custom, not by law. It can be the buyer, the seller or both. Your purchase contract says who pays in your sale.
What is a seller rent-back?
It's a written agreement that lets you stay in your home for a short, set time after closing. The buyer owns the home, and you move out on the agreed date.
How long can a seller stay after closing?
It depends on the buyer's loan. HUD's Inspector General describes FHA loans as requiring the buyer to move in within 60 days of signing. Conventional and VA lenders set their own limits, so ask the buyer's lender to confirm in writing.
Do I pay rent during a rent-back?
Usually, though it's negotiable. Rent is often set to cover the buyer's daily cost of owning the home. Some buyers agree to a short stay with no rent.
Do I need insurance during a rent-back?
Yes. The buyer's homeowner's policy covers the building. Your policy usually ends when you sell, so ask your agent about a renter's policy for your belongings and liability.
What happens if the seller doesn't move out on time?
The agreement should say. Many include a daily charge for holding over and a deposit or holdback. If the agreement creates a tenancy, the buyer may have to go through the court eviction process.
Is a rent-back a good idea for a senior moving to assisted living?
Often. It lets the family sell, get the proceeds and move a parent once on a known date. It works well with clear dates and a written agreement.
Should I sell my house before buying another one?
Selling first gives you known cash and avoids two payments, but you may need a place to live in between. Buying first lets you move once, but you carry two homes for a while. Your equity, income and comfort with risk decide which fits.
Will a seller accept an offer contingent on selling my home?
Some will, especially if your home is already listed or in escrow and priced well. When several buyers want the same home, a contingent offer can lose to one that isn't contingent.
What is a rent-back?
A rent-back lets you stay in your sold home for a set time after closing under a written agreement. You get your proceeds at closing and move on your schedule.
Can I use my home equity to buy before I sell?
Often, yes, through a bridge loan or a home equity line opened before you list. You need to qualify, and you may carry several payments until your home sells.
Can I buy my next home with a reverse mortgage?
If you're 62 or older, HECM for Purchase can be used to buy a home you'll live in. You still pay property taxes, insurance and upkeep.
Do I have to use your lending if you sell my home?
No. You can use any lender you like. We'd like the chance to quote your loan so you can compare it, and the choice is always yours.
Can I carry my property tax base to my next home?
Owners 55 and older may be able to under Prop 19, with conditions. See our Prop 19 page and confirm with the county assessor and a tax advisor.
Can I evict a tenant because I'm selling the house?
Under the Tenant Protection Act, selling isn't listed as a just cause on its own. If your rental is covered, you'll need a just cause that applies. Talk with a landlord-tenant attorney before giving any notice.
Is my single-family rental exempt from AB 1482?
It may be if it isn't owned by a corporation or REIT and you gave the tenant the required written exemption notice. For tenancies from July 1, 2020 on, that notice must be in the lease.
How much notice do I give a tenant for a showing?
California Civil Code section 1954 presumes 24 hours of written notice is reasonable, or six days if mailed. Showings are during normal business hours unless the tenant agrees otherwise.
Does the buyer have to keep my tenant?
Generally the buyer takes the property subject to the existing tenancy. Any change has to follow the lease and the law that applies to that rental.
What is cash for keys?
It's a voluntary written agreement where a tenant agrees to move out by a set date in exchange for an agreed payment. The tenant can decline. Have an attorney draft or review it.
What happens to the security deposit when I sell?
The Attorney General says the landlord must either return the deposit to the tenant or transfer it to the new owner. The tenant should be told in writing.
Does the City of Sacramento have its own tenant rules?
Yes. The city's Tenant Protection Program covers many rentals inside city limits, with its own rent cap and just cause rules. Check with the city whether your unit is covered.
Buying a home
Is there a standard buyer agent commission in California?
No. Commissions are not set by law and are always negotiable. Each buyer agreement states its own amount, and you can discuss it before you sign.
Do I need to sign a buyer agreement to go to an open house?
No. NAR's consumer guide says visiting an open house or asking an agent about their services does not require one. You need one before you tour homes with an agent.
Can a seller still pay my agent?
Yes. A seller can agree to pay some or all of your agent's fee, or to give you a concession toward your costs. It can no longer be advertised on the MLS.
How long can a California buyer agreement last?
Up to three months for an individual buyer under Civil Code 1670.50. It cannot renew automatically. A renewal needs a new signed, dated writing.
What if the seller pays more than my agreement says?
Your agent cannot receive more than the amount in your agreement. Any extra the seller offers can go toward your other costs, within your loan's rules.
Can I cancel a buyer agreement?
It depends on the cancellation terms in your agreement, so read them before signing. Both sides can also agree in writing to change or end it.
Do I have to use your lending if you're my agent?
No. You can use any lender you like. We'd like the chance to quote your loan so you can compare.
Is there a standard earnest money amount in California?
No. The deposit is a negotiated term in the contract. A larger deposit can reassure a seller but puts more of your money at risk if you cancel for a reason the contract doesn't allow.
Can a seller keep my whole deposit if I back out?
It depends on your contract and your contingencies. On a one-to-four unit home you'll live in, California Civil Code section 1675 presumes liquidated damages up to 3% of the price are valid if both sides agreed to that clause. Ask an attorney about your specific situation.
What is a highest and best offer?
It's a request from the listing agent for each buyer's top offer by a deadline. The seller then compares terms, not just price, and may accept one or counter.
Do escalation clauses work in Sacramento?
Some sellers accept them and some don't. They reveal your maximum price, and your loan and appraisal still have to support the final number.
What happens if the appraisal is low?
You can bring more cash, renegotiate, split the difference or cancel if your appraisal contingency is still active. We show each option in dollars.
Should I write a love letter to the seller?
It's safer not to share personal details. Some listing agents won't forward letters because of fair housing concerns. Keep any note to your terms and timeline.
Can I ask the seller to pay my closing costs?
Yes, you can ask for a credit. Your loan program may limit how much a seller can contribute, so we check that before writing the offer.
How long is the inspection contingency in California?
It's whatever your contract says. Standard forms set a default number of days, and you can negotiate it shorter or longer. We set it to match when your inspectors can come out.
Do contingencies go away on their own?
Don't count on it. California contracts usually require removal in writing, and the seller can send a Notice to Perform if you miss a deadline. Read how your contract handles it.
What is a Notice to Perform?
It's a written notice from the seller giving you a short time to remove a contingency or take another required step. If you don't act, the seller may be able to cancel.
Do I need a termite inspection in Sacramento?
It's a smart idea on most homes. A licensed structural pest control company checks for wood-destroying pests and conditions likely to cause damage later.
Who is responsible for the sewer lateral?
In areas served by SacSewer, the property owner maintains the upper lateral on private property and SacSewer maintains the lower lateral. Other areas may differ, so we check who serves the home.
Should I waive the inspection to win?
We rarely recommend it. You can keep an inspection and still make a strong offer with a shorter period and fewer small requests.
When should I get insurance quotes?
During your inspection period. If coverage is hard to find or costly, you'll still have time to renegotiate or cancel.
Does CalHFA help with a down payment?
Yes. CalHFA's MyHome Assistance Program is a deferred-payment junior loan capped at the lesser of 3.5% of price or appraised value with FHA, or 3% with conventional. Income limits, price limits and education rules apply.
Is Dream For All open right now?
It has run in funding rounds with set application windows. Ask us, and we'll check CalHFA's current status when you're ready to buy.
Does Sacramento have a first-time buyer program?
SHRA lists PLHA and CalHome first-time buyer programs for low-income buyers and says programs open and close with funding. We check what's open when you apply.
Can I still get a Mortgage Credit Certificate in Sacramento?
SHRA's page says that due to the depletion of funds it cannot assist with its MCC program until further notice. We'll tell you if that changes.
Which homebuyer course does CalHFA accept?
CalHFA accepts the eHome eight-hour online course, or live in-person or virtual education through NeighborWorks America or a HUD-approved housing counseling agency.
Can my parents give me money for a down payment?
Usually yes. Lenders want a gift letter and a clear paper trail showing the money moved from their account to yours.
Do I have to use your lending to buy with you?
No. You can use any lender you like. We'd like the chance to quote your loan so you can compare.
Do I have to use the builder's lender?
No. The CFPB notes you have the right to shop around. An incentive may be tied to the builder's lender, so compare full Loan Estimates for the same loan before deciding.
Can I negotiate with a builder?
Often less than on a resale home, but sometimes on incentives, upgrades, closing costs or a finished spec home. It depends on the builder and the market.
What warranty does California require on a new home?
California Civil Code section 900 requires at least a one-year written warranty on fit and finish items like cabinets, flooring, countertops, paint and trim. Builders often add their own warranty terms.
Should I get an inspection on new construction?
Yes. A private inspector works for you. A pre-drywall check and a final check before your walk-through catch items while the builder can still fix them.
Do new homes have Mello-Roos?
Many newer communities in the region do. Ask the builder for the amount, how it can change and when it ends, and read our Mello-Roos guide.
Can I bring my agent after my first visit?
Some builders won't allow it. Many require your agent to register you on the first visit, so call your agent before you tour.
Is my builder deposit refundable?
It depends on the builder's contract. The CFPB suggests asking the builder, before you commit, under what conditions the deposit can be returned.
Local costs and rules
Is Mello-Roos the same as property tax?
No. It's a separate special tax that appears on the same bill. Your base property tax follows the home's assessed value. Mello-Roos follows the district's own formula.
Does Mello-Roos ever go away?
Each district sets an end date, which the seller's disclosure notice lists. Taxes for ongoing services can run longer than taxes that repay bonds.
Can Mello-Roos go up each year?
Some districts allow a set yearly increase up to a maximum. The disclosure notice states the maximum tax and how much it can rise each year.
Who tells me if a home has Mello-Roos?
The seller makes a good-faith effort to get and deliver the notice under Civil Code 1102.6b. The tax bill and the preliminary title report show it too.
Does Mello-Roos affect how much I can borrow?
Yes. Lenders include special assessments in your monthly housing expense, so a higher special tax means a higher payment for the same price.
Can I dispute a Mello-Roos charge?
Sacramento County says disputes go to the district that levies the charge, not the tax collector. The district's contact information is on or behind your tax bill.
Is Mello-Roos tax deductible?
That depends on what the tax pays for and your own tax situation. Ask a CPA or tax advisor before you count on a deduction.
What law governs HOAs in California?
Most fall under the Davis-Stirling Common Interest Development Act, Civil Code sections 4000 and following. It covers budgets, reserves, assessments, meetings and resale disclosures.
Can my HOA raise dues whenever it wants?
Not without limits. Civil Code 5605 bars raising regular dues more than 20 percent over the prior year without member approval, with exceptions allowed in an emergency.
How big can a special assessment be without a vote?
Under Civil Code 5605, special assessments can't total more than 5 percent of the year's budgeted gross expenses without member approval, apart from emergency exceptions.
Who pays for the HOA documents when I sell?
The HOA charges a fee for the resale packet, and the purchase contract says who pays it. It's often the seller, and it can be negotiated.
Do HOA dues count against my loan approval?
Yes. Lenders include association dues and special assessments in your monthly housing expense when they figure your debt-to-income ratio.
Can an HOA stop me from renting my home?
Some can limit rentals. The seller must disclose any rule that prohibits renting or leasing, so read it before you buy if you might rent the home later.
What's a reserve study?
A plan for the big repairs the HOA will face, what they'll cost and how much it should save each year. California requires a visual inspection at least every three years for most HOAs.
What does the California FAIR Plan cover?
The residential policy covers fire, lightning, internal explosion and smoke, up to a combined limit of $3,000,000, according to the CDI. It does not cover water damage, theft or liability.
Do I need a DIC policy with the FAIR Plan?
The CDI recommends one. A difference in conditions policy covers the perils the FAIR Plan leaves out, such as water damage, theft and liability.
Will my lender accept the FAIR Plan?
Ask your lender in writing before you buy coverage. Each loan program and lender sets its own insurance rules.
How do I get a wildfire insurance discount?
The CDI's Safer from Wildfires program lists steps such as a Class A roof, ember-resistant vents and a 5-foot ember-resistant zone. The CDI says each action qualifies for a discount.
When should I get insurance quotes when buying a home?
Right after your offer is accepted. Quotes in hand before your contingencies end let you renegotiate or cancel if coverage turns out to be a problem.
Who can I call at the Department of Insurance?
The CDI's consumer line is 1-800-927-4357. The FAIR Plan itself is at 800-339-4099, according to the CDI's FAIR Plan page.
What happens if my homeowners insurance lapses?
The CFPB says your lender may buy force-placed insurance and bill you. It usually costs more than a policy you buy yourself and may protect only the lender.
What is the transfer tax in Sacramento County?
The county tax is $0.55 for each $500 of value, or $1.10 per $1,000, per the Sacramento County Clerk-Recorder. Inside the City of Sacramento, the city adds $2.75 per $1,000, for $3.85 per $1,000 in total.
Does Elk Grove, Roseville or Davis have a city transfer tax?
Not an added one. Sacramento County says only the City of Sacramento has its own city transfer tax in the county. The California City Finance table (effective December 1, 2025) shows Roseville, Rocklin, Lincoln, Davis, Woodland and West Sacramento at the standard $1.10 total.
How much is the transfer tax on a $600,000 home?
$660 in most of the region. Inside the City of Sacramento it's $660 plus $1,650 in city tax, or $2,310. Escrow confirms the exact figure.
Who pays the transfer tax in Sacramento?
It's negotiable. Chicago Title's 2026 customary practices guide says the seller customarily pays the county tax in Sacramento, Placer, El Dorado and Yolo, and the City of Sacramento tax is customarily split. Your contract decides.
Is there transfer tax when I inherit a house?
Transfers by reason of death are generally exempt under Revenue and Taxation Code section 11930, as El Dorado County's Recorder lists them. Selling the inherited house to a buyer later is taxed like any sale.
Is there transfer tax when one spouse deeds the house to the other in a divorce?
Transfers under a divorce judgment or an agreement in contemplation of one are exempt under Revenue and Taxation Code section 11927. Your family law attorney prepares the deed.
How do I find out if a house is in a flood zone?
Enter the address at FEMA's Flood Map Service Center (msc.fema.gov) and open the map to see its FIRMette. Cal OES's MyHazards tool shows other natural hazards too. Your lender will also order a flood zone determination.
Is flood insurance required in Sacramento?
It's required when the home is in a FEMA high-risk zone and you have a mortgage from a government-backed lender, according to FEMA's flood insurance page (updated October 20, 2026). Outside high-risk zones it's optional.
What is Zone A99 in Natomas?
The City of Sacramento says Natomas has had an A99 designation since June 16, 2015. A99 is an interim high-risk zone that allows building with local conditions. Owners with a federally backed mortgage still need flood insurance.
What is the difference between Zone AE and Zone X?
Zone AE is high risk, inside the 1% annual chance floodplain, with base flood elevations shown. Zone X is moderate (shaded) or minimal (unshaded) risk outside that floodplain, per FEMA's flood zones glossary.
How much flood coverage can I get through the NFIP?
FEMA's FloodSmart agent site lists residential maximums of $250,000 for the building and $100,000 for contents. Private flood policies may offer other limits.
Is there a waiting period for flood insurance?
FEMA says NFIP policies typically take effect after 30 days. Exceptions include coverage a lender requires when you get a loan, and coverage tied to a flood map change.
If my home is behind a levee, do I need flood insurance?
Not if it maps outside FEMA's high-risk zone, unless your lender requires it. A levee lowers risk but doesn't remove it, so many owners behind levees consider optional coverage.
Do I need a septic inspection to buy a house in El Dorado County?
We didn't find a county rule requiring one at every sale, so ask El Dorado County Environmental Management directly. Many buyers and lenders want an inspection anyway, and it's worth doing during your contingency period.
What should I test well water for?
The EPA (page updated February 26, 2026) recommends testing a private well every year for total coliform bacteria, nitrates, total dissolved solids and pH, plus anything else you suspect. A separate flow test checks how much water the well delivers.
Can I get an FHA or VA loan on a home with a well and septic?
Yes. The home has to meet the program's property standards, which can include water testing or inspections. We confirm the current requirements with the lender for your loan.
Who pays to maintain a shared private road?
A written road maintenance agreement controls. Without one, California Civil Code section 845 says owners share the cost in proportion to their use of the easement.
Does the propane tank come with the house?
Only if it's owned. A leased tank belongs to the propane company. Ask which it is, and agree in writing on any credit for fuel left in the tank at closing.
Is a rural home eligible for a USDA loan?
Many are. USDA checks eligibility by address, and income limits apply. Our USDA loan page explains the program, and Maggie can check a specific address.
How does wildfire risk affect buying in the foothills?
It affects insurance cost, disclosures and defensible space upkeep. Get insurance quotes early, and ask the seller for roof age and any defensible space records.
What is the difference between an ADU and a JADU?
An ADU is a complete second home on the lot, attached, detached or converted. A JADU is no more than 500 square feet of interior living space and sits entirely inside a single-family home, according to HCD's ADU Handbook (March 2026).
Do I have to live on the property to build an ADU?
No. HCD's Handbook says a local agency can't impose an owner-occupancy requirement on an ADU (Gov. Code section 66315). A JADU that shares a bathroom with the main house does require the owner to live in one of the two.
How long does the city have to approve an ADU permit?
Once a complete application is received for a lot with an existing home, the permitting agency has to approve or deny it within 60 days, per Government Code sections 66317 and 66335 as described in HCD's Handbook.
Can I rent my ADU on Airbnb?
Often not. State law lets local agencies require ADU and JADU rentals to be longer than 30 days. Check your city or county's rules before you plan on short stays.
Will an ADU raise my property taxes?
Usually only for the new construction. The added value gets its own assessment and the rest of your home keeps its existing value. Expect a supplemental bill after completion. Ask your county assessor and a CPA about your project.
Are there free ADU plans in Sacramento?
The City of Sacramento offers free permit-ready plans for city residents, and Sacramento County announced free shelf-ready plans on July 10, 2024 for unincorporated areas. Other cities have their own pre-approved plan programs.
Can I sell the ADU separately?
Usually not. HCD's Handbook says separate sale as condominiums is allowed only where a city or county adopts an ordinance under Government Code section 66342, plus a narrow nonprofit exception in section 66341.
How can I pay for an ADU?
Common options are cash, a home equity line of credit, a cash-out refinance, a renovation loan or a construction loan. Maggie can compare the monthly cost of each for your situation.
Seniors, parents and family moves
Can I sell my mom's house with a power of attorney in California?
Often, yes, while she is living. The power of attorney should be durable and give power over real property. The title company will review it, and an attorney should confirm it fits your plan.
Does a power of attorney work after my parent dies?
No. California Probate Code section 4152 ends an agent's authority at the principal's death. After that, the house is sold by the successor trustee of a trust or by a personal representative in probate.
Does a power of attorney need to be recorded to sell a house?
Title companies commonly ask that it be recorded with the county recorder where the house sits when the agent signs the deed. Escrow will tell you if yours needs it and can often record it with the deed.
How do I sign a deed as power of attorney?
California Civil Code section 1095 says you sign your parent's name and your own as attorney in fact, for example 'Mary Smith, by John Smith, her attorney in fact.' Escrow shows you the exact wording.
Can I give my parent's house to myself with a power of attorney?
Usually not unless the document expressly allows gifts. Probate Code section 4264 requires express authority for gifts and trust changes. Talk with an attorney before any transfer to a family member.
What if there is no power of attorney and my parent can't sign?
A court conservatorship of the estate may be needed before the house can be sold. Courts expect less restrictive options to be considered first, so start with an elder law attorney.
Does a conservator need court approval to sell a house?
Generally, yes. The conservator tells the court about the plan for the parent's home first. The sale then follows court rules much like a probate sale, including an appraisal and possible overbids at a hearing.
Do you take referral fees from assisted living or memory care communities?
No. Surroundings does not take referral fees from any community or care provider, ever. Our advice about where your parent moves is never tied to a payment.
Do I need to be in Sacramento to sell my parent's house?
Usually not. Walk-throughs can happen on video, vendors can be let in through a lockbox and documents can be signed where you live. You may choose to come for a visit, but most steps do not require it.
Read the full guide: Selling a parent's home from out of town
Can a California deed be notarized online?
Not by a California notary yet. The Secretary of State says remote online notarization starts once its technology project is finished, or by January 1, 2030, whichever is earlier. Most out-of-town sellers use a mobile notary where they live. Ask escrow what they accept.
Read the full guide: Selling a parent's home from out of town
Who signs if Mom can no longer make decisions?
The agent under her durable power of attorney or the successor trustee of her trust may be able to sign. If neither exists, a court conservatorship may be needed. An attorney should confirm this before the home is listed.
Read the full guide: Selling a parent's home from out of town
Should I tell the insurance company the house is empty?
Yes. Many homeowners policies treat a vacant home differently. Call the insurer, ask what changes and get the answer in writing.
Read the full guide: Selling a parent's home from out of town
How do my siblings and I stay on the same page?
Everyone you name gets the same written update at the same time. Name one person for day-to-day decisions and save the big choices for the group.
Read the full guide: Selling a parent's home from out of town
Do you take referral fees from senior communities?
No. We take no placement fees from any community or care provider, ever. You choose any vendor or care provider you like.
Read the full guide: Selling a parent's home from out of town
Do we have to fix the house before it sells?
No. Homes in any condition can sell. We show you a price as it sits and a price after a short list of repairs, so you can decide what is worth doing.
Read the full guide: Selling a parent's home from out of town
Should we have the estate sale before or after listing the house?
Usually before, so the house can be cleaned, repaired and photographed empty or staged. Family should take what they want before the estate sale company starts pricing.
How do estate sale companies charge?
Most keep a share of what sells, and some add minimums or cleanup fees. Terms vary by company. Get the share, the fees and what happens to unsold items in writing before you sign.
What if there isn't enough for an estate sale?
A consignment shop, an auction house, an online sale or donation pickups may fit better. Some estate sale companies will tell you plainly if a house is too small for a sale.
What papers should we never throw away?
Wills, trusts, powers of attorney, the deed, loan statements, insurance policies, tax returns, account statements, vehicle titles and military discharge papers. Keep anything official until the attorney or CPA has seen it.
Where do we take old paint and chemicals in Sacramento County?
Sacramento County and the City of Sacramento run free household hazardous waste drop-off sites for residents. Accepted items and hours vary by site, so check first or call 311.
Can we sell the house with furniture still in it?
Yes. Some homes sell partly furnished, and some buyers want certain pieces. Anything that stays should be written into the purchase contract.
How do I help Mom let go of things without upsetting her?
Let her choose first, start with the easiest rooms and ask for the stories behind the hardest items. Photos and keeping one piece of a set help many people let go.
Is memory care more expensive than assisted living?
Generally yes, because memory care needs more staff, dementia training and secured spaces. Costs vary by community and care level, so get written quotes and compare what each one includes.
What is an RCFE in California?
A Residential Care Facility for the Elderly. It is California's license for assisted living and board-and-care homes, and many memory care settings. The Department of Social Services, Community Care Licensing Division, licenses and monitors them.
Does Medicare cover memory care?
No. Medicare.gov says Medicare does not pay for long-term care. It can cover a limited skilled nursing stay after a qualifying hospital stay, up to 100 days per benefit period.
Does Medi-Cal pay for assisted living?
Through the Assisted Living Waiver, for people who qualify. It is for people with nursing-home-level needs and full-scope Medi-Cal with no share of cost. When we checked in October 2026, it operated in Sacramento County but not in Placer, El Dorado or Yolo counties.
Can VA benefits help pay for assisted living?
VA Aid and Attendance is a monthly payment added to a VA pension for qualified Veterans and survivors who need help with daily activities. The pension must come first. A county veterans service office can help with the claim.
How do I check a facility's complaint history?
For assisted living and memory care, use the CDSS Find Licensed Care search. For skilled nursing, use CDPH's Cal Health Find. Read the reports and ask the community about anything you find.
Do you take referral fees from senior communities?
No. Maggie takes no placement or referral fees from any community or care provider, ever. Your family chooses the community.
Will selling Mom's house for care cost her the home sale tax break?
Not necessarily. IRS Publication 523 lets time in a state-licensed care facility count toward the residence test if she lived in the home at least 12 months in the five years before the sale. Her CPA can confirm.
What is the most important safety change for an older adult at home?
Preventing falls. The CDC says falls are the leading cause of injury for adults 65 and older. Grab bars in the bathroom, good lighting and removing throw rugs are common first steps.
What is a Certified Aging-in-Place Specialist?
CAPS is a designation for people trained to assess how a home works for someone as they age, and which changes help them stay safely. Maggie B. Hopkins holds the CAPS designation.
Does Medicare pay for grab bars or home modifications?
Generally not for home changes like grab bars or ramps. Ask your parent's doctor and their Medicare plan what is covered, since some plans offer extra benefits. HICAP offers free Medicare counseling at (800) 434-0222.
Are there grants for seniors to make home repairs?
Some. USDA's Section 504 program offers grants to very-low-income owners 62 and older in eligible rural areas. The VA's HISA grant helps eligible Veterans. Your local Area Agency on Aging may know of other programs.
Can a reverse mortgage pay for aging-in-place changes?
It can, for homeowners 62 and older who qualify. It requires HUD-approved counseling first. The borrower must keep paying property taxes, insurance and upkeep. Call Maggie at (916) 549-3131 to talk through whether it fits.
How do we know whether to modify the house or move?
Compare the cost and the result. Changes often make sense when a main-floor bedroom and bath exist and care needs are steady. A move often makes more sense when the house is two stories with no workable main floor, or care needs are growing.
Do safety changes hurt resale value?
Well-done changes such as a main-floor bath, a curbless shower and good lighting appeal to many buyers. Very specialized equipment may need to be removed or priced into the sale. We can talk through how a change might affect a future sale.
Probate, trusts, taxes and divorce
Do I need a trust if I have a will?
A will alone still goes through probate. A living trust lets the things inside it skip probate. Many people have both, with a short pour-over will as a backup. An estate planning attorney can tell you what fits your family.
Does a house in a living trust go through probate?
Usually not, as long as the house was actually deeded into the trust. If the deed is still in the person's own name, the house may need probate even though a trust exists.
Can I still sell or refinance my house if it is in my living trust?
Yes. While you are alive and in charge of your trust, you can live in, sell or refinance the home. If a refinance moves the house out of the trust, make sure it gets moved back in afterward.
How long does probate take in California?
The California Courts Self-Help Guide says formal probate typically takes 9 to 18 months, and it can take longer. A house held in a living trust usually skips that wait.
Does a living trust save on taxes?
A simple revocable living trust usually does not lower taxes on its own. The step-up in basis and the Prop 19 rules work the same with or without one. Your CPA should run the numbers for your family.
How long does probate take in California?
The California Courts Self-Help Guide says formal probate typically takes 9 to 18 months and can take longer. Court calendars, disputes and an unsold house are the usual reasons it runs long.
What is the small estate limit in California in 2026?
For deaths on or after April 1, 2025, the Self-Help Guide lists $208,850 for the small estate affidavit and $750,000 for a California primary residence petition. The next update is due April 1, 2028.
How much are executor fees in California?
Probate Code section 10800 sets them at 4 percent of the first $100,000, 3 percent of the next $100,000 and 2 percent of the next $800,000, with lower rates above that. The attorney's fee in section 10810 uses the same schedule.
Is the probate fee based on equity or the full value of the house?
The full value. Sections 10800 and 10810 figure the fee without subtracting encumbrances, so a mortgage does not lower it.
Can I sell a house before probate is finished?
Yes, once the personal representative has Letters from the court. With full authority, heirs get a Notice of Proposed Action at least 15 days ahead. With limited authority, the sale goes to a court confirmation hearing.
What is an overbid in a California probate sale?
A higher bid made at the court confirmation hearing. Under Probate Code section 10311, the first overbid must add at least 10 percent of the first $10,000 of the accepted price and 5 percent of the rest.
Does a surviving spouse have to go through probate?
Not always. A spousal property petition can confirm that property passes to a surviving spouse or domestic partner, and the Self-Help Guide lists no dollar limit for it. An attorney can tell you if it fits.
Do I need a probate attorney to sell my parent's house?
The law does not require one, but many families selling a house hire one. The attorney handles the court filings and deadlines, and we handle the house and the sale.
Does a house in a living trust go through probate in California?
Usually not, if the house was actually deeded into the trust. The successor trustee handles it without a court case. If the deed is still in the person's own name, the house may need probate or another court process.
How long does a successor trustee have to notify the heirs?
California Probate Code section 16061.7 says the notification goes out within 60 days of the death. It goes to each beneficiary and each heir, and your trust attorney usually prepares it.
How long do heirs have to contest a trust?
Under section 16061.7, the notice must warn that a contest can't be brought more than 120 days from the notice date, or 60 days after receiving a copy of the trust terms during that period, whichever is later. Ask your attorney how that fits your sale date.
Does the title company need the whole trust?
Usually not. California Probate Code section 18100.5 lets the trustee give a notarized certification of trust instead. It proves the trust exists and that the trustee can sell, without showing who inherits what.
Can the successor trustee sell the house before the heirs agree?
It depends on what the trust allows and the duties a trustee owes the beneficiaries. Many trusts give the trustee the power to sell. Your trust attorney tells you what yours says and how to keep the heirs informed.
Will the property tax go up if I keep my parent's house?
It may. Under Prop 19, a child who makes the home their principal residence can keep the parent's base value up to a limit. The BOE lists the added amount as $1,044,586 for transfers from February 16, 2025 through February 15, 2027. The county assessor decides.
Do I owe capital gains tax when I sell a parent's house from a trust?
Often the gain is small, because inherited property generally gets a new basis equal to its value at the date of death. Whether that applies depends on the type of trust, so ask your CPA. Our stepped-up basis guide explains the idea.
How much capital gain can I exclude when I sell my home?
IRS Publication 523 (2025) says up to $250,000 if you're single, or up to $500,000 if you're married filing jointly, when you meet the ownership and use tests. Your CPA confirms how it applies to you.
How long do I have to live in my house to avoid capital gains?
Publication 523 says you must have owned it and lived in it as your main home for at least 24 months in the 5 years before the sale. The months don't have to be in a row.
What is a stepped-up basis?
When you inherit property, your basis is generally its fair market value on the date of death, not what the original owner paid. IRS Publication 551 explains it. That often means little or no taxable gain if you sell soon after.
Does a surviving spouse get a full step-up in California?
Often, if the home was community property. IRS Publication 551 says the total value of community property generally becomes the basis of the entire property when one spouse dies, if at least half is included in the decedent's estate. Ask your CPA how your title was held.
Is an inherited house a long-term or short-term gain?
Long-term. IRS Publication 544 says inherited property is treated as held longer than 1 year, regardless of how long you actually held it.
Do I pay tax on depreciation when I sell a former rental?
Usually, yes. Publication 523 says gain equal to depreciation after May 6, 1997 can't be excluded, and IRS Topic No. 409 says unrecaptured section 1250 gain is taxed at a maximum 25% rate.
How long should I keep records of my home's basis?
Publication 523 says to keep them until 3 years after the due date of the return for the year you sold the home. Many owners keep purchase and improvement records for as long as they own the home.
Who gets the house in a divorce in California?
Whoever your agreement or the court's order says. Family Code section 760 makes property acquired during the marriage in California generally community property, and section 2550 has the court divide it equally unless you agree otherwise. Your attorney advises on your facts.
How do I calculate a spousal buyout?
Start with the home's value, subtract the loan payoff, and divide the equity by each person's share. For example, a $700,000 home with a $300,000 payoff has $400,000 in equity, so half is $200,000. Your attorneys may adjust for other assets or contributions.
Does a divorce decree take my name off the mortgage?
No. The decree can divide ownership, but only the lender can release you from the loan. Usually the spouse keeping the house refinances into a new loan in their name.
Can I refinance to buy out my spouse?
Often, yes, if you qualify on your own. Fannie Mae's Selling Guide treats a co-owner buyout as a limited cash-out refinance when the home was jointly owned at least 12 months, there's a signed written agreement and the remaining owner gets no loan proceeds.
Is it taxable to transfer the house to my spouse in a divorce?
Generally not at the time of transfer. IRS Publication 504 says no gain or loss is generally recognized on transfers between spouses or incident to divorce, and the receiving spouse keeps the same basis. Tax can come later when the home sells, so ask your CPA.
Should we sell the house before or after the divorce is final?
It depends on your case, your cash needs and your agreement. Some couples sell during the case and hold the proceeds until the split is final. Talk with your attorney before you sign a listing.
Do you represent one spouse over the other?
No. We stay neutral, give both owners the same information and follow whatever plan you agree on or the court orders.
Rentals and investors
What is a good cap rate?
There's no single good number. It depends on the area, the property's condition and your goals. Use cap rate to compare properties on the same terms, then look at cash flow with your financing.
Will my property tax be the same as the seller's?
Usually not. The Board of Equalization says a purchase generally triggers reassessment to current market value, so estimate tax from your price.
How much can I raise the rent in California?
For covered units, the Attorney General says the limit over 12 months is 5% plus the change in the cost of living, or 10%, whichever is lower. Some properties are exempt and some cities have stricter rules.
Is a single-family rental exempt from AB 1482?
It can be, if it isn't owned by a corporation or real estate investment trust and the owner gives the tenant the required written notice. An attorney can confirm for your property.
What is a DSCR loan?
A loan for investment property that looks mainly at whether the property's rent covers its payment. See our DSCR loans page for how lenders measure it.
Should I hire a property manager?
It depends on your time, distance and comfort with landlord rules. Include management in your numbers either way, so the property still works if you hire help later.
Can I use a 1031 exchange to buy a rental?
If you're selling another investment property, a 1031 exchange may defer tax. It has strict deadlines and requires a qualified intermediary, so talk with your CPA before you list.
What are the 1031 exchange deadlines?
The IRS Instructions for Form 8824 say you must identify the replacement in writing within 45 days of transferring your property, and receive it by the earlier of the 180th day or your tax return due date, including extensions.
Can I do a 1031 exchange on my house?
Not on a home used only as your personal residence. Section 1031 covers real property held for business or investment use. A rental generally qualifies, and the home sale exclusion is the tool for your main home.
Do I need a qualified intermediary for a 1031 exchange?
For a deferred exchange, generally yes. The QI holds the sale money so you don't receive it and uses it to buy the replacement. The IRS says related parties and your own agents can't serve as your QI.
What is depreciation recapture on a rental?
It's tax on the depreciation you took while you owned the rental. IRS Topic No. 409 says unrecaptured section 1250 gain from selling real property is taxed at a maximum 25% rate. Your CPA figures your number.
If I move into my rental for two years, is the gain tax-free?
Not all of it. IRS Publication 523 says rental years after 2008 before you moved in can reduce the gain you exclude, and depreciation can't be excluded. If you got the home in a 1031 exchange, you must wait 5 years from the exchange.
Is a DST a good option for me?
That's a question for licensed advisors. A DST is a passive, fractional interest in real estate that is generally sold as a security. For a referral to a trusted 1031 and DST specialist, call Maggie at (916) 549-3131.
Can I sell my rental while tenants live there?
Yes. You can sell with the lease in place or wait until it's vacant. Our guide on selling a house with tenants covers notice, showings and which buyers fit each path.
General information, not legal, tax or insurance advice. Talk with your attorney, CPA or insurance agent about your own situation.
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