Ask a real estate pro: How long should I keep records?
Q: I helped my father sell his condo in 2017 and have been storing the paperwork from when he originally purchased it to when he sold it. I want to shred the papers, but I was wondering if I need to hold on to them for a certain length of time. How long should I keep the paperwork? — Lois
A: Good record-keeping can make a big difference should a problem arise. That said, with the deluge of paperwork that comes with living in the modern world, I certainly understand your desire to get rid of some clutter.
The length of time you are required to hold on to the documents will vary depending on the type of paperwork and where you live. This is further complicated by Murphy’s Law of Decluttering, which states that you will not need something until shortly after you throw it away.
Digitally scanning important papers before you shred them is a great way to reduce clutter, but it can be time-consuming.
Generally, you should keep contracts and other financial documents as long as the statute of limitations for where you live, which would begin when the contract is no longer active.