What Not to Fix When Selling Your House in California

Which repairs are worth doing before you sell and which aren’t: legal must-dos, loan deal-breakers, big remodels, credits and the disclosure rules.

Before listing, most sellers walk through the house with a growing to-do list. Some of those jobs are required by law, some protect the sale and many cost more than buyers will pay you back. This guide sorts them, covers the rules California sellers can’t skip and explains why anything you don’t fix still has to be disclosed.

Fix what the law requires at sale

A few items aren’t optional:

  • Smoke alarms. A home that’s sold must have an operable smoke alarm, and the seller gives the buyer a written statement of compliance.
  • Carbon monoxide alarms in homes with a fossil-fuel heater or appliance, a fireplace or an attached garage.
  • Water heater strapping. Every water heater has to be braced, anchored or strapped against earthquakes, and the seller certifies it in writing.
  • The sewer lateral in Oakland, Alameda, Albany, Emeryville and Piedmont. EBMUD requires a compliance certificate to close escrow, but a time extension certificate lets the work happen after the sale. It takes a $4,500 refundable deposit and allows 180 days to finish. Berkeley runs its own program.

Fix obvious safety hazards too, like exposed wiring, a gas smell or a broken stair. If you can’t, make the area safe and disclose it.

Fix what would stop a buyer’s loan

A buyer who borrows has to satisfy the lender, so the lender’s standards matter. Under Fannie Mae’s guidelines for conventional loans, a house with deficiencies severe enough to affect safety, soundness or structural integrity has to be appraised “subject to” repairs, which means the work gets done before the loan can be sold to Fannie Mae. Minor wear, like worn carpet, holes in window screens or cracked window glass, generally doesn’t require a repair, though the appraiser notes it.

If the house has a serious problem, such as a failing roof, a damaged foundation or unsafe wiring, you have three choices: fix it, price the house to reflect it or sell to a cash buyer who doesn’t need a lender.

Usually not worth it: big remodels

A new kitchen or bathroom right before listing is unlikely to pay for itself. In the 2025 Remodeling Impact Report from the National Association of REALTORS and the National Association of the Remodeling Industry, the projects with the highest estimated cost recovery were a new steel front door at 100%, a closet renovation at 83% and a new fiberglass front door at 80%. Even the top performers only broke even, on average.

Big remodels also take months, usually need permits and can uncover new problems once walls are open. And buyers may not share your taste.

What agents most often recommend before listing is simpler. In the same report, 50% of REALTORS recommended painting the entire home and 41% recommended painting a single interior room.

Usually not worth it: things buyers expect to change

  • Dated but working finishes, like older counters, tile or light fixtures
  • Older appliances and systems that still work, as long as the water heater is strapped
  • A full landscaping redo; tidy and trimmed is usually enough
  • Normal wear that any buyer expects in a lived-in house

Put that effort into cleaning, decluttering and small fixes instead: a dripping faucet, a sticking door, burned-out bulbs, loose handles. Our guide to getting your house ready to sell has a full checklist.

Big-ticket problems: repair, credit or price it in

For a roof, foundation, old wiring or a failed sewer line, get two or three bids before deciding anything. Then compare:

  • Repair before listing. Buyers see a finished job, but you carry the cost, the permits and the delay. Keep the permits and receipts to show buyers.
  • Offer a credit. You negotiate money off instead of doing the work. Loan rules limit how much a seller can contribute. For a conventional loan on a primary home, Fannie Mae caps seller contributions at 3%–9% of the price depending on the down payment, and the money can go toward the buyer’s closing costs but not the down payment.
  • Price it in or sell as-is. List at a price that reflects the problem, or sell to a cash buyer who builds the repair into the offer.

Termite damage follows the same logic, with the pest report shaping the negotiation. See selling a house with termite damage for how those reports work.

Unpermitted work: disclose it either way

The Transfer Disclosure Statement asks directly whether room additions, structural changes or other alterations and repairs were made without necessary permits or not in compliance with building codes. Whether or not you legalize old work before you sell, the buyer needs to hear about it if you know about it.

Don’t fix to hide

Painting over a water stain or patching a crack without telling the buyer can turn a sale into a lawsuit. In California, delivery of the Transfer Disclosure Statement can’t be waived even in an “as is” sale, and courts have long held that sellers must disclose known facts that materially affect value or desirability when a buyer couldn’t readily discover them. If you repair something, it’s safest to disclose both the problem and the repair and keep the receipts.

A quick way to decide

  1. Required by state law or a local rule? Do it.
  2. A safety hazard? Fix it or make it safe, and disclose it.
  3. Would it stop a buyer’s loan? Fix it, offer a credit or plan on a cash buyer.
  4. Cosmetic or a matter of taste? Usually skip it and clean instead.
  5. Big and structural? Get bids, then compare repairing, crediting and selling as-is.

If the list still feels overwhelming, we buy houses as-is, with no repairs or cleaning, and price the condition into the offer. Expect that offer to be below what the house might bring after repairs. Selling a house that needs repairs explains how it works.

Sources

General information about California rules as of October 3, 2026, not legal, tax or financial advice. Laws change and every situation is different, so check the details with an attorney, CPA or other professional.

The direct line

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