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Pre-Sale Inspections That Pay Off in Daly City

October 23, 2025

Selling in Daly City, a small surprise can turn into a big price cut. In a market where many homes sell around the low-to-mid seven figures, even a modest credit or delay can sting. You want buyers to feel confident, lenders to sign off fast, and your closing to stay on track. This guide shows which pre-sale inspections tend to pay off in Daly City, how the City’s 3R requirement fits in, what each inspection costs, and how to use results to your advantage. Let’s dive in.

Why inspections pay off in Daly City

Pre-sale inspections reduce buyer renegotiations, speed timelines, and help you price with precision. When you surface issues early, you choose what to fix, what to disclose, and where a credit makes sense, rather than reacting under pressure in escrow. Guidance for sellers shows that pre-listing inspections can cut surprises and strengthen your position with buyers and lenders (pre-listing inspection benefits).

Many Daly City homes are mid-century wood-frame structures. In the Bay Area, buyers are tuned in to seismic risk, aging sewer laterals, and termite exposure. The U.S. Geological Survey projects a significant probability of a damaging Bay Area earthquake over the next 30 years, so clear structural information is valuable to buyers and lenders (USGS earthquake probability).

Know what Daly City requires

The Daly City 3R report

Daly City requires a Residential Requirements Report (the 3R) before entering into an agreement of sale for residential properties of three units or less. The 3R is a records report, not a physical inspection. It lists permits and enforcement history from City records and is valid for six months. The current City fee is 124 dollars effective July 1, 2025. You must provide the 3R to the buyer prior to consummation of sale (Daly City 3R).

State disclosures you still owe

California requires sellers to deliver the Transfer Disclosure Statement and the Natural Hazard Disclosure, among other statutory forms. “As-is” does not remove your duty to disclose known material facts about the property (California Civil Code 1102.3).

Sewer lateral expectations

Daly City’s point-of-sale requirement centers on the 3R. While some nearby cities require private sewer lateral compliance at sale, Daly City does not list a universal PSL mandate on its 3R page. Many buyers still expect a sewer camera scope due to the age of local laterals. A voluntary scope often prevents last-minute sewer credits.

Inspections that deliver ROI

Below are the inspections that most often help Daly City sellers lock stronger offers and cleaner escrows, plus typical cost ranges. Prices vary by size, age, and access.

General home inspection

A full pre-listing inspection identifies common deal drivers like roof condition, HVAC, plumbing leaks, electrical issues, and signs of foundation movement. Sharing the report and addressing key items up front builds confidence and reduces buyer leverage to renegotiate (why sellers order pre-listing inspections). Typical cost is about 300 to 1,000 dollars depending on size and age, with many homes landing around 350 to 700 dollars (home inspection cost ranges). Best timing is 30 to 60 days before listing.

Termite/WDO inspection and clearance

Termites and wood rot are common in California wood structures. VA loans often require a pest report, and appraisers can flag visible damage. Getting a clean report or clear plan prevents lender delays. Expect 100 to 300 dollars for the inspection; treatment and repairs are additional (termite inspection costs).

Sewer camera scope

Older laterals can crack, offset, or collapse, and surprise repairs can run into the thousands. A pre-listing sewer scope sets clear expectations and avoids a common escrow snag. Camera inspections generally run 250 to 700 dollars. If repairs are needed, costs can range widely from about 5,000 to 20,000 dollars depending on method and access (sewer scope cost guide).

Roof inspection

Roof condition is a frequent negotiating item. A quick roof inspection, or documentation of a recent replacement, can calm buyer concerns and keep lenders comfortable. Plan roughly 150 to 400 dollars for an inspection, with replacement costs varying based on size and material.

Electrical safety review

Older panels, mixed wiring, or unpermitted upgrades can draw scrutiny from buyers and insurers. A licensed electrician can evaluate the panel, bonding, and visible wiring for safety concerns. Expect 150 to 400 dollars for an electrical safety check. Addressing obvious hazards before listing can remove easy objections.

Structural or seismic evaluation

If your home shows settlement, has a hillside foundation, or includes past modifications or additions, a structural engineer’s evaluation can add confidence. A targeted visit often runs 300 to 1,500 dollars or more. For retrofit planning, early guidance helps you decide whether to fix, disclose, or price accordingly. The seismic context matters to buyers in Daly City and across the Bay Area (USGS Bay Area risk).

Targeted environmental tests

For pre-1978 homes or where moisture is present, lead paint, asbestos, or mold testing can be prudent. These are not required in every sale, but targeted tests help when specific risks are suspected. Typical tests run about 200 to 600 dollars. Disclosure duties still apply to known issues (California Civil Code references for disclosures).

Specialty systems

If you have a chimney, pool, or unique mechanical systems, order the relevant specialty inspection. Daly City properties are usually on public sewer, but if a septic system exists, obtain a current inspection.

Quick cost and timing snapshot

Inspection Why it matters Typical cost Best timing
General home Finds major items buyers use to renegotiate 300–1,000 dollars 30–60 days pre-listing
Termite/WDO Lender and buyer confidence, common in CA 100–300 dollars 2–6 weeks pre-listing
Sewer scope Avoids big credits for aging laterals 250–700 dollars 2–6 weeks pre-listing
Roof Frequent bargaining point 150–400 dollars 2–6 weeks pre-listing
Electrical Safety and insurance concerns 150–400 dollars 2–6 weeks pre-listing
Structural Seismic risk, foundation clarity 300–1,500+ dollars If signs of movement or additions

Cost sources: seller guidance and vendor averages for the Bay Area (pre-listing overview, home inspection costs, termite costs, sewer scope costs).

A practical pre-sale plan

  • Order the Daly City 3R early. It is required before entering into an agreement of sale for 1 to 3 unit residential properties, valid for six months, and currently 124 dollars (Daly City 3R).
  • Schedule a general home inspection 30 to 60 days before listing. Use results to decide which follow-up inspections you need and to estimate repair costs (seller benefits of pre-listing inspections).
  • For older homes, add termite and sewer scope. Gather invoices and permit closeouts for past work. These reduce friction for buyers and lenders (termite inspection basics).
  • Decide fix versus disclose. You can repair high-impact items, price to reflect needed work, or disclose and offer a credit. California law still requires disclosure of known material facts (California Civil Code 1102.3).

Permits, paperwork, and presentation

If repairs require permits, work with the Daly City Building Division. Permitted work preserves marketability, and unpermitted additions often trigger buyer questions. The 3R may not show unpermitted work because it reflects City records only. If you know about unpermitted improvements, disclose them and consider consulting the City about options (Daly City permits, regional advisory on disclosures and permits).

When you go to market, package your 3R, state disclosures, pre-listing inspections, and any repair invoices or permit closeouts. Advertising the home as “pre-inspected” can help buyers focus on the fit and value instead of unknowns.

Negotiating with confidence

After inspections, you typically have four options: fix high-impact items and show invoices, price the home to reflect needed work, disclose and offer a credit or small holdback, or sell as-is while fully disclosing known defects. The right choice depends on your timing, budget, and buyer pool. Pre-sale inspections give you the data to make the call and reduce the chance of a deal-threatening surprise.

Ready to align an inspection plan with your goals and timeline? Get lender-aware, concierge guidance from James Kil to prep, price, and negotiate your Daly City sale with confidence.

FAQs

What is Daly City’s 3R and why do I need it?

  • The Residential Requirements Report is a records-based summary of permits and enforcement history for 1 to 3 unit residential properties. It is required before entering an agreement of sale, valid for six months, and currently costs 124 dollars (Daly City 3R).

Is a sewer camera inspection mandatory in Daly City?

  • Daly City’s listed point-of-sale requirement is the 3R. While the City does not publish a universal private sewer lateral mandate on that page, many buyers expect a sewer scope due to aging laterals and regional practices.

Who pays for pre-sale inspections and repairs?

  • Sellers usually pay for pre-listing inspections; buyers typically pay for inspections they order during escrow. Clearance items or lender-required repairs are negotiable and depend on loan type and contract terms (termite inspection basics).

Will a pre-listing inspection scare buyers away?

How do unpermitted additions affect my sale?

  • The 3R shows permits from City records and may not list unpermitted work. Disclose what you know, consult the City on options, and consider pricing or repairs to address buyer concerns (Daly City permits).

Work With James

His background allows him to comfortably tune in to the ebbs and flows of the ever-changing market and provide uniquely catered advice to anyone, and he has built an extensive team of partners to leverage for the benefit of his clients.