For how many years must a managing broker keep closing statement records?

A managing broker is required to keep closing statement records for a period of five years. This requirement is set by regulations to ensure that there is a sufficient audit trail for transactions, allowing for transparency and accountability in the real estate industry. Retaining these records for five years helps to protect both the broker and their clients, as it provides a time frame for resolving any disputes or inquiries that may arise after a transaction has closed.

Keeping records for this duration aligns with best practices in real estate and helps brokers maintain compliance with legal and regulatory obligations. The specified time also takes into account the typical statute of limitations for contract disputes, ensuring that all relevant documentation is available if needed during that time frame.