1. Purchase Contingencies and Property Use Shape the First Review
A signed purchase agreement can create enforceable duties before a deed is recorded. Review starts with open contingencies and intended use.
Contingency Waivers Can Limit Cancellation Rights
Inspection, appraisal, and financing deadlines may differ. Waiving a contingency can end a contractual cancellation option. Some agreements also require a notice to perform before certain remedies. A failed purchase does not automatically forfeit the deposit. Contract terms and California liquidated damages rules matter. An attorney can assess the waiver before the buyer signs. The real estate transfer process explains the broader path from agreement to deed recording.
Easements and Occupancy Terms Affect Intended Use
An easement may cross a proposed building site, while recorded restrictions can limit alterations. Existing leases may delay possession even after closing. A listing cannot settle these questions. Compare deeds, recorded instruments, surveys when needed, and occupancy agreements. A promise of vacant possession should address holdover occupants.
2. Disclosure and Title Reviews Address Different Risks
Disclosures concern property conditions; title records concern ownership and competing interests. Both require review.
Late Seller Disclosures May Permit Termination
California Civil Code §§ 1102–1102.3 govern disclosures in covered residential sales, subject to exemptions. If a required disclosure or material amendment arrives after execution of an offer, § 1102.3 generally allows termination by written notice within three days of personal delivery or five days of mailing or agreed electronic delivery. The clock depends on completed disclosure sections being delivered. Other defects do not automatically create this right. A related California real estate attorney guide discusses the documents underlying property rights.
A Preliminary Title Report Is Not Proof of Clear Title
Under California Insurance Code § 12340.11, a preliminary title report offers insurance on specified terms and exceptions. It is not an abstract of title or a representation of title condition. Recorded liens, deeds of trust, and easements may need further investigation. Compare each exception with the purchase agreement to determine whether a release, payoff, endorsement, or revised closing condition is appropriate. The parties' escrow agreements should state when funds and documents may be released.
3. County Records and City Requirements Affect Closing
County and city agencies hold different records. A legal review must distinguish ownership, permitted use, and transfer taxes.
Santa Clara County Records Require Specific Search Details
The Clerk-Recorder indexes deeds and liens by parties and recorded instruments, not simply by street address. Reviewing document images may require an in-person search or copy request. A legal review compares the chain of deeds, legal descriptions, and recorded releases. An assessor's parcel listing is useful for identifying land but does not settle a disputed ownership claim.
Sjpermits Helps Test Planned Property Use
The city's SJPermits portal provides permit history, zoning information, and certain inspection records. It can also indicate whether a property lies inside city boundaries. An older permit does not validate later work. For a proposed accessory dwelling unit or renovation, compare existing improvements with approvals and zoning.
Measure E Adds a Separate Transfer Tax
San Jose imposes a conveyance tax and a separate Measure E tax. Since July 1, 2025, Measure E has applied to covered transfers exceeding $2.3 million in consideration, subject to applicable exemptions. Its tiered rate applies to the full consideration once the threshold is exceeded, not just the excess. The next scheduled inflation adjustment is July 1, 2030. A contract can allocate costs without changing statutory tax liability.
4. Practical Pitfalls Can Change the Available Remedy
Missed notices and premature cancellation can limit remedies. The claimed right determines the response.
Preserve Original Notices and Transaction Records
Keep signed agreements, disclosures, delivery records, inspection reports, escrow instructions, and messages. Do not overwrite earlier versions. Notice clauses may specify recipients, delivery methods, and deadlines, so an informal email might fail. An attorney can assess the breach and prepare a notice or amendment consistent with the agreement.
Select the Correct Dispute Procedure and Court
A contract may require mediation or arbitration. If litigation follows, jurisdiction, deadlines, and relief control the filing. Santa Clara County Superior Court generally requires attorneys to e-file civil documents, with exceptions. Damages and specific performance have different requirements. Related real estate dispute resolution services address formal claims in more detail.
12 Nov, 2026
