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Ambassador
1,821,961
Alan May
Jameson Sotheby's International Realty - Evanston, IL
A moving experience!

Because if they warp, they don't sound right.

Jan 02, 2020 05:23 PM
Ambassador
5,413,483
Bob Crane
Woodland Management Service / Woodland Real Estate, EXP - Stevens Point, WI
Forestland Experts! 715-204-9671

A serious answer to this broad question may take a blog post or a book, but Alan May does present a good one for a chuckle tonight.

Jan 02, 2020 07:55 PM
Rainmaker
1,738,513
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Property Manager

They are very helpful at tax time, if you get audited... or, God forbid, you get sued.

Jan 02, 2020 09:10 PM
Rainmaker
546,583
Tom Bailey
Margaret Rudd & Associates Inc. - Oak Island, NC

In NC you better have good ones.The NC Real Estate Commission audits them periodically! They are very important if you get sued!

Jan 02, 2020 08:43 PM
Rainmaker
2,642,262
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

If something is contested...documents support the original action & premise

Jan 02, 2020 07:21 PM
Rainmaker
991,615
Doug Dawes
KW Evolution - Topsfield, MA - Georgetown, MA
Your Personal Realtor®

Try not keeping them and see what happens when you need them. Besides, there are laws about keeping records

Jan 03, 2020 08:23 AM
Ambassador
4,259,392
Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
The right Charlotte REALTOR!

Our CPA requires it, as does our real estate Commission!

Jan 03, 2020 06:28 AM
Rainmaker
889,177
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

The judge will not take your word for it.

NOTE: the IRS wants 3rd party verification.

Jan 03, 2020 05:02 AM
Rainmaker
1,924,939
Anthony Acosta - ALLATLANTACONDOS.COM
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker

Laura,

This question was asked before, click on the link below to view all the previous  answers:

https://activerain.com/questions/show/39069/why-is-keeping-good-records-important-

Jan 03, 2020 02:51 PM
Rainmaker
1,901,261
Bob "RealMan" Timm
Ward County Notary Services - Minot, ND
Owner of Ward Co Notary Services retired RE Broker

The cost of vinyl has gone up over the years so you want to keep those good records Laura Dalton 

Jan 03, 2020 07:49 AM
Rainmaker
1,640,186
Sandy Padula and Norm Padula, JD, GRI
HomeSmart Realty West - Carlsbad, CA
Presence, Persistence & Perseverance

Three letters: I.R.S.

Jan 03, 2020 07:42 AM
Rainmaker
684,915
Peter Testa
Nationwide Homes - Danbury, CT
PETER TESTA

So you can always go back & say what was done, if it comes into question. 

Jan 03, 2020 06:40 AM
Rainmaker
4,122,153
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

I would say to reduce potential risk and liability... but why do you think it's important? I would think the answer to this is fairly self-evident.

Jan 03, 2020 05:16 AM
Rainmaker
4,046,379
Richard Weeks
Dallas, TX
REALTOR®, Broker

If a former client ever files suit or a complaint, or if there is an IRS audit good record keeping will be very important.

Jan 03, 2020 04:25 AM
Rainmaker
4,214,037
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

How important is your license to you?

Jan 03, 2020 04:16 AM
Rainmaker
1,385,324
Wayne Zuhl
Remax First Realty II - Cranford, NJ
The Last Name You'll Ever Need in Real Estate

To keep the tax man happy, for one. To determine whether a particular investment is providing a return. To choose marketing locations and tools. 

Jan 03, 2020 03:08 AM
Ambassador
4,582,242
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

Well Alan May has a good tongue in cheek response, but seriously there are legal reasons to keep good records for liability and risk reduction purposes. Think about the IRS and an audit as just one example.

Jan 02, 2020 08:20 PM
Rainmaker
1,231,599
Mary Yonkers
Alan Kells School of Real Estate/Howard Hanna Real Estate - Erie, PA
Erie/PA Real Estate Instructor

 Just in case the Russians are asked to find them.

                         

Jan 04, 2020 10:29 AM
Rainmaker
6,613,253
Roy Kelley
Realty Group Referrals - Gaithersburg, MD

Good records will help you build your business and keep you out of trouble.

Jan 03, 2020 04:11 AM
Rainmaker
911,486
John Juarez
The Medford Real Estate Team - Fremont, CA
ePRO, SRES, GRI, PMN

If you ever are audited by the IRS you will have the perfect answer to your general question.

I know that you are referencing real estate records so I will say the same revelation will hit you if you are ever sued by a disgruntled client.

Jan 04, 2020 09:34 AM
Ambassador
3,058,272
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate

He who keeps good records will win against the fool that does not. 

I wish you all the best with your real estate studies. 

Jan 03, 2020 03:33 PM
Rainmaker
3,469,480
John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

Laura Dalton to avoid future problems.

Jan 03, 2020 03:04 PM
Rainmaker
1,387,778
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

Because you may need them.

Jan 03, 2020 08:57 AM
Rainmaker
5,571,934
Barbara Todaro
RE/MAX Executive Realty - Retired - Franklin, MA
Previously Affiliated with The Todaro Team

first and foremost, for tax purposes..... if you ever get audited, you'd better have proof of your deductions!!!  

Jan 03, 2020 07:21 AM
Rainmaker
1,707,423
Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

Hopefully you never will be in a lawsuit.

Jan 03, 2020 07:06 AM
Rainmaker
5,591,480
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Your records can be audited.  And it give one an immense amount of peace of mind. A

Jan 03, 2020 06:51 AM
Rainmaker
1,154,075
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

Not an issue any more. 7 year retention. After that unsubscribe the cloud storage subscription. Pull the plug. Key is next to insert. Done!

Jan 03, 2020 06:19 AM
Rainmaker
4,943,909
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Because there will be a day you will need to go back and look to see what happened.

Jan 06, 2020 07:19 AM
Rainmaker
4,017,105
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

If you get audited you will know better next time.

 

Jan 04, 2020 12:59 PM