Amended IN Assembly March 20, 2023 Amended IN Assembly March 02, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 968Introduced by Assembly Member GraysonFebruary 14, 2023An act to add Section 1102.6h to the Civil Code, relating to real property. LEGISLATIVE COUNSEL'S DIGESTAB 968, as amended, Grayson. Residential real Single-family residential property: disclosures.Existing law requires that specified disclosures be made upon any transfer by sale, exchange, real property sales contract, lease with an option to purchase, any other option to purchase, or ground lease coupled with improvements, of any single-family residential property. Existing law, after July 1, 2022, requires that every contract for the sale of single-family residential real property contain a notice stating that any appraisal of the property is required to be unbiased, objective, and not influenced by improper or illegal considerations.This bill would require the seller of a single-family residential property that was purchased by the seller in the previous 24 months to disclose all renovations made to the property by the seller, the name of each contractor that performed any of those renovations, and whether a permit was obtained for each renovation.This bill would require a seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property to disclose to the buyer specified information, including any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor and the name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs, as specified. The bill would alternatively authorize a seller to satisfy these obligations by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs. The bill would require the seller or licensed contractor to provide a copy of any permit for any room additions, structural modifications, other alterations, or repairs to the buyer, as specified. The bill would specify that these provisions apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 1102.6h is added to the Civil Code, to read:1102.6h. (a) A seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property shall disclose, in addition to any other disclosure required pursuant to this article, to the buyer both of the following:(1) Any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor with whom the seller entered into a contract.(2) The name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs disclosed in paragraph (1) and any contact information for the licensed contractor provided by the licensed contractor to the seller. The obligation to provide the name of the licensed contractor shall only apply to contracts where the aggregate contract price for labor, material, and all other items for the project or undertaking is in excess of the dollar amount specified in Section 7027.2 of the Business and Professions Code.(b) The sellers obligation to disclose the room additions, structural modifications, other alterations, or repairs made to the property performed by a licensed contractor may also be satisfied by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs.(c) (1) If the seller or licensed contractor obtained a permit for any room additions, structural modifications, other alterations, or repairs provided to the buyer pursuant to subdivision (a), the seller or licensed contractor shall provide a copy of the permit to the buyer.(2) If the seller does not have a copy of the permit obtained for the room additions, structural modifications, other alterations, or repairs, or is unaware of whether or not permits were obtained by the licensed contractor, the seller may satisfy the obligation pursuant to paragraph (1) by informing the buyer that any information on permits and copies of permits for the work disclosed pursuant to subdivision (a) may be obtained from the licensed contractor who performed the work.(d) This section shall apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024.SECTION 1.Section 1102.6h is added to the Civil Code, to read:1102.6h.(a)A seller of a single-family residential property that was purchased by the seller in the previous 24 months, in addition to any other disclosure required pursuant to this article, shall disclose to the prospective buyer all of the following:(1)All renovations made to the property by the seller since purchase.(2)The name of each contractor that performed any of the renovations disclosed under paragraph (1).(3)Whether a permit was obtained for each of the renovations disclosed under paragraph (1).(b)This section shall apply to the sale of a single-family residential property where the parties enter into a contract or agreement for the property on or after January 1, 2024. Amended IN Assembly March 20, 2023 Amended IN Assembly March 02, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 968Introduced by Assembly Member GraysonFebruary 14, 2023An act to add Section 1102.6h to the Civil Code, relating to real property. LEGISLATIVE COUNSEL'S DIGESTAB 968, as amended, Grayson. Residential real Single-family residential property: disclosures.Existing law requires that specified disclosures be made upon any transfer by sale, exchange, real property sales contract, lease with an option to purchase, any other option to purchase, or ground lease coupled with improvements, of any single-family residential property. Existing law, after July 1, 2022, requires that every contract for the sale of single-family residential real property contain a notice stating that any appraisal of the property is required to be unbiased, objective, and not influenced by improper or illegal considerations.This bill would require the seller of a single-family residential property that was purchased by the seller in the previous 24 months to disclose all renovations made to the property by the seller, the name of each contractor that performed any of those renovations, and whether a permit was obtained for each renovation.This bill would require a seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property to disclose to the buyer specified information, including any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor and the name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs, as specified. The bill would alternatively authorize a seller to satisfy these obligations by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs. The bill would require the seller or licensed contractor to provide a copy of any permit for any room additions, structural modifications, other alterations, or repairs to the buyer, as specified. The bill would specify that these provisions apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Amended IN Assembly March 20, 2023 Amended IN Assembly March 02, 2023 Amended IN Assembly March 20, 2023 Amended IN Assembly March 02, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 968 Introduced by Assembly Member GraysonFebruary 14, 2023 Introduced by Assembly Member Grayson February 14, 2023 An act to add Section 1102.6h to the Civil Code, relating to real property. LEGISLATIVE COUNSEL'S DIGEST ## LEGISLATIVE COUNSEL'S DIGEST AB 968, as amended, Grayson. Residential real Single-family residential property: disclosures. Existing law requires that specified disclosures be made upon any transfer by sale, exchange, real property sales contract, lease with an option to purchase, any other option to purchase, or ground lease coupled with improvements, of any single-family residential property. Existing law, after July 1, 2022, requires that every contract for the sale of single-family residential real property contain a notice stating that any appraisal of the property is required to be unbiased, objective, and not influenced by improper or illegal considerations.This bill would require the seller of a single-family residential property that was purchased by the seller in the previous 24 months to disclose all renovations made to the property by the seller, the name of each contractor that performed any of those renovations, and whether a permit was obtained for each renovation.This bill would require a seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property to disclose to the buyer specified information, including any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor and the name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs, as specified. The bill would alternatively authorize a seller to satisfy these obligations by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs. The bill would require the seller or licensed contractor to provide a copy of any permit for any room additions, structural modifications, other alterations, or repairs to the buyer, as specified. The bill would specify that these provisions apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024. Existing law requires that specified disclosures be made upon any transfer by sale, exchange, real property sales contract, lease with an option to purchase, any other option to purchase, or ground lease coupled with improvements, of any single-family residential property. Existing law, after July 1, 2022, requires that every contract for the sale of single-family residential real property contain a notice stating that any appraisal of the property is required to be unbiased, objective, and not influenced by improper or illegal considerations. This bill would require the seller of a single-family residential property that was purchased by the seller in the previous 24 months to disclose all renovations made to the property by the seller, the name of each contractor that performed any of those renovations, and whether a permit was obtained for each renovation. This bill would require a seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property to disclose to the buyer specified information, including any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor and the name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs, as specified. The bill would alternatively authorize a seller to satisfy these obligations by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs. The bill would require the seller or licensed contractor to provide a copy of any permit for any room additions, structural modifications, other alterations, or repairs to the buyer, as specified. The bill would specify that these provisions apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024. ## Digest Key ## Bill Text The people of the State of California do enact as follows:SECTION 1. Section 1102.6h is added to the Civil Code, to read:1102.6h. (a) A seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property shall disclose, in addition to any other disclosure required pursuant to this article, to the buyer both of the following:(1) Any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor with whom the seller entered into a contract.(2) The name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs disclosed in paragraph (1) and any contact information for the licensed contractor provided by the licensed contractor to the seller. The obligation to provide the name of the licensed contractor shall only apply to contracts where the aggregate contract price for labor, material, and all other items for the project or undertaking is in excess of the dollar amount specified in Section 7027.2 of the Business and Professions Code.(b) The sellers obligation to disclose the room additions, structural modifications, other alterations, or repairs made to the property performed by a licensed contractor may also be satisfied by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs.(c) (1) If the seller or licensed contractor obtained a permit for any room additions, structural modifications, other alterations, or repairs provided to the buyer pursuant to subdivision (a), the seller or licensed contractor shall provide a copy of the permit to the buyer.(2) If the seller does not have a copy of the permit obtained for the room additions, structural modifications, other alterations, or repairs, or is unaware of whether or not permits were obtained by the licensed contractor, the seller may satisfy the obligation pursuant to paragraph (1) by informing the buyer that any information on permits and copies of permits for the work disclosed pursuant to subdivision (a) may be obtained from the licensed contractor who performed the work.(d) This section shall apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024.SECTION 1.Section 1102.6h is added to the Civil Code, to read:1102.6h.(a)A seller of a single-family residential property that was purchased by the seller in the previous 24 months, in addition to any other disclosure required pursuant to this article, shall disclose to the prospective buyer all of the following:(1)All renovations made to the property by the seller since purchase.(2)The name of each contractor that performed any of the renovations disclosed under paragraph (1).(3)Whether a permit was obtained for each of the renovations disclosed under paragraph (1).(b)This section shall apply to the sale of a single-family residential property where the parties enter into a contract or agreement for the property on or after January 1, 2024. The people of the State of California do enact as follows: ## The people of the State of California do enact as follows: SECTION 1. Section 1102.6h is added to the Civil Code, to read:1102.6h. (a) A seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property shall disclose, in addition to any other disclosure required pursuant to this article, to the buyer both of the following:(1) Any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor with whom the seller entered into a contract.(2) The name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs disclosed in paragraph (1) and any contact information for the licensed contractor provided by the licensed contractor to the seller. The obligation to provide the name of the licensed contractor shall only apply to contracts where the aggregate contract price for labor, material, and all other items for the project or undertaking is in excess of the dollar amount specified in Section 7027.2 of the Business and Professions Code.(b) The sellers obligation to disclose the room additions, structural modifications, other alterations, or repairs made to the property performed by a licensed contractor may also be satisfied by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs.(c) (1) If the seller or licensed contractor obtained a permit for any room additions, structural modifications, other alterations, or repairs provided to the buyer pursuant to subdivision (a), the seller or licensed contractor shall provide a copy of the permit to the buyer.(2) If the seller does not have a copy of the permit obtained for the room additions, structural modifications, other alterations, or repairs, or is unaware of whether or not permits were obtained by the licensed contractor, the seller may satisfy the obligation pursuant to paragraph (1) by informing the buyer that any information on permits and copies of permits for the work disclosed pursuant to subdivision (a) may be obtained from the licensed contractor who performed the work.(d) This section shall apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024. SECTION 1. Section 1102.6h is added to the Civil Code, to read: ### SECTION 1. 1102.6h. (a) A seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property shall disclose, in addition to any other disclosure required pursuant to this article, to the buyer both of the following:(1) Any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor with whom the seller entered into a contract.(2) The name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs disclosed in paragraph (1) and any contact information for the licensed contractor provided by the licensed contractor to the seller. The obligation to provide the name of the licensed contractor shall only apply to contracts where the aggregate contract price for labor, material, and all other items for the project or undertaking is in excess of the dollar amount specified in Section 7027.2 of the Business and Professions Code.(b) The sellers obligation to disclose the room additions, structural modifications, other alterations, or repairs made to the property performed by a licensed contractor may also be satisfied by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs.(c) (1) If the seller or licensed contractor obtained a permit for any room additions, structural modifications, other alterations, or repairs provided to the buyer pursuant to subdivision (a), the seller or licensed contractor shall provide a copy of the permit to the buyer.(2) If the seller does not have a copy of the permit obtained for the room additions, structural modifications, other alterations, or repairs, or is unaware of whether or not permits were obtained by the licensed contractor, the seller may satisfy the obligation pursuant to paragraph (1) by informing the buyer that any information on permits and copies of permits for the work disclosed pursuant to subdivision (a) may be obtained from the licensed contractor who performed the work.(d) This section shall apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024. 1102.6h. (a) A seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property shall disclose, in addition to any other disclosure required pursuant to this article, to the buyer both of the following:(1) Any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor with whom the seller entered into a contract.(2) The name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs disclosed in paragraph (1) and any contact information for the licensed contractor provided by the licensed contractor to the seller. The obligation to provide the name of the licensed contractor shall only apply to contracts where the aggregate contract price for labor, material, and all other items for the project or undertaking is in excess of the dollar amount specified in Section 7027.2 of the Business and Professions Code.(b) The sellers obligation to disclose the room additions, structural modifications, other alterations, or repairs made to the property performed by a licensed contractor may also be satisfied by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs.(c) (1) If the seller or licensed contractor obtained a permit for any room additions, structural modifications, other alterations, or repairs provided to the buyer pursuant to subdivision (a), the seller or licensed contractor shall provide a copy of the permit to the buyer.(2) If the seller does not have a copy of the permit obtained for the room additions, structural modifications, other alterations, or repairs, or is unaware of whether or not permits were obtained by the licensed contractor, the seller may satisfy the obligation pursuant to paragraph (1) by informing the buyer that any information on permits and copies of permits for the work disclosed pursuant to subdivision (a) may be obtained from the licensed contractor who performed the work.(d) This section shall apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024. 1102.6h. (a) A seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property shall disclose, in addition to any other disclosure required pursuant to this article, to the buyer both of the following:(1) Any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor with whom the seller entered into a contract.(2) The name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs disclosed in paragraph (1) and any contact information for the licensed contractor provided by the licensed contractor to the seller. The obligation to provide the name of the licensed contractor shall only apply to contracts where the aggregate contract price for labor, material, and all other items for the project or undertaking is in excess of the dollar amount specified in Section 7027.2 of the Business and Professions Code.(b) The sellers obligation to disclose the room additions, structural modifications, other alterations, or repairs made to the property performed by a licensed contractor may also be satisfied by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs.(c) (1) If the seller or licensed contractor obtained a permit for any room additions, structural modifications, other alterations, or repairs provided to the buyer pursuant to subdivision (a), the seller or licensed contractor shall provide a copy of the permit to the buyer.(2) If the seller does not have a copy of the permit obtained for the room additions, structural modifications, other alterations, or repairs, or is unaware of whether or not permits were obtained by the licensed contractor, the seller may satisfy the obligation pursuant to paragraph (1) by informing the buyer that any information on permits and copies of permits for the work disclosed pursuant to subdivision (a) may be obtained from the licensed contractor who performed the work.(d) This section shall apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024. 1102.6h. (a) A seller of a single-family residential property who sells that single-family residential property to a buyer within 18 months of purchasing that single-family residential property shall disclose, in addition to any other disclosure required pursuant to this article, to the buyer both of the following: (1) Any room additions, structural modifications, other alterations, or repairs made to the property since the seller purchased the property that were performed by a licensed contractor with whom the seller entered into a contract. (2) The name of each licensed contractor with whom the seller entered into a contract with for the room additions, structural modifications, other alterations, or repairs disclosed in paragraph (1) and any contact information for the licensed contractor provided by the licensed contractor to the seller. The obligation to provide the name of the licensed contractor shall only apply to contracts where the aggregate contract price for labor, material, and all other items for the project or undertaking is in excess of the dollar amount specified in Section 7027.2 of the Business and Professions Code. (b) The sellers obligation to disclose the room additions, structural modifications, other alterations, or repairs made to the property performed by a licensed contractor may also be satisfied by providing a list of room additions, structural modifications, other alterations, or repairs performed by, and provided by, the licensed contractor with whom the seller contracted for the room additions, structural modifications, other alterations, or repairs. (c) (1) If the seller or licensed contractor obtained a permit for any room additions, structural modifications, other alterations, or repairs provided to the buyer pursuant to subdivision (a), the seller or licensed contractor shall provide a copy of the permit to the buyer. (2) If the seller does not have a copy of the permit obtained for the room additions, structural modifications, other alterations, or repairs, or is unaware of whether or not permits were obtained by the licensed contractor, the seller may satisfy the obligation pursuant to paragraph (1) by informing the buyer that any information on permits and copies of permits for the work disclosed pursuant to subdivision (a) may be obtained from the licensed contractor who performed the work. (d) This section shall apply to the sale of a single-family residential property where the seller and buyer enter into a contract or agreement for the property on or after July 1, 2024. (a)A seller of a single-family residential property that was purchased by the seller in the previous 24 months, in addition to any other disclosure required pursuant to this article, shall disclose to the prospective buyer all of the following: (1)All renovations made to the property by the seller since purchase. (2)The name of each contractor that performed any of the renovations disclosed under paragraph (1). (3)Whether a permit was obtained for each of the renovations disclosed under paragraph (1). (b)This section shall apply to the sale of a single-family residential property where the parties enter into a contract or agreement for the property on or after January 1, 2024.