Key Documents Required for a California Real Estate Transaction
Understanding the Essential Paperwork for Real Estate Transactions in California
Buying or selling real estate in California involves more than just finding the right property or buyer—it also requires completing a significant amount of legal documentation. Each of these documents plays a crucial role in ensuring the transaction is lawful, clear, and enforceable.

At Lane Law Group, Inc., we help individuals and businesses across California navigate the complexities of real estate transactions. Whether you're a first-time homebuyer, seasoned investor, or seller, understanding these documents is essential for a smooth closing process.
Core Documents in a California Real Estate Transaction
1. Purchase Agreement
This contract outlines the terms of the transaction, including the purchase price, contingencies, deadlines, and responsibilities of both buyer and seller. It's the foundation of any real estate deal.
2. Disclosure Statements
California law requires sellers to provide certain disclosures about the property’s condition. The most common is the Transfer Disclosure Statement (TDS), which includes information about known defects, repairs, and environmental hazards. Other common disclosures include:
- Natural Hazard Disclosure (NHD)
- Lead-Based Paint Disclosure (for homes built before 1978)
- Local and state-specific disclosures
3. Preliminary Title Report
This report is issued by a title company and outlines the legal status of the property, including ownership, liens, easements, and restrictions. It’s essential for ensuring the buyer is receiving clear title.
4. Deed
The deed is the legal document that transfers ownership of the property from seller to buyer. It must be signed, notarized, and recorded with the county recorder’s office.
5. Loan Documents
If the buyer is financing the purchase, the lender will require documents such as:
- Promissory note
- Deed of trust
- Loan estimate and closing disclosure
These documents establish the terms of the loan and the lender’s legal interest in the property.
6. Escrow Instructions
These written instructions guide the escrow agent in managing the transaction and disbursing funds. They must align with the terms of the purchase agreement.
7. Bill of Sale (Optional)
If personal property (e.g., appliances or furniture) is included in the transaction, a bill of sale may be used to transfer ownership of those items separately from the real estate.
8. Closing Statement
This detailed accounting shows all costs, fees, and credits associated with the transaction. Both the buyer and seller receive a copy at closing.
Why Legal Guidance Matters
While real estate agents and escrow officers help manage parts of the transaction, they cannot provide legal advice. At Lane Law Group, Inc., we help ensure that your documents are accurate, complete, and in your best interest. We review contracts, explain your obligations, and protect you from costly mistakes or disputes.
