Oregon Broker PSI Practice Exam

What is the maximum amount of time documents associated with a real estate transaction must be retained?

1. 3 years

2. 6 years

3. 10 years

4. Indefinitely

The correct answer is: 6 years

The maximum amount of time documents associated with a real estate transaction must be retained is six years. This retention period aligns with specific legal requirements put in place to ensure that records related to real estate transactions are available for any necessary review, auditing, or legal proceedings. After the six-year mark, the likelihood of needing those documents decreases significantly, and as such, brokers and agents can consider them for disposal unless there are specific reasons to keep them longer. In many states, including Oregon, this six-year rule is often reflective of the general statute of limitations for contractual claims, providing a balanced approach to record-keeping that safeguards both the interests of the parties involved and the operational practices of real estate professionals. Keeping records for this duration allows for adequate protection and accountability in the event of disputes or inquiries concerning the transaction.