Essential Documents to Retain After Closing a Home Sale
Essential Documents to Retain After Closing a Home Sale
After the lengthy and often stressful process of buying or selling a home, it’s natural to want to move on and declutter. However, retaining critical legal and financial documents from the transaction is crucial. These records may be needed for tax purposes, potential disputes, or future claims against involved parties. Below is a guide to the key documents you should safeguard:
Why Keep Closing Documents?
- Tax Compliance: Specific documents are necessary for filing taxes, such as deductions related to property sales or mortgage interest.
- Legal Protection: Records may be required to resolve disputes with sellers, agents, or lenders.
- Future Reference: Ownership details, loan terms, and transaction timelines can clarify obligations or rights down the line.
Key Documents to Preserve
- Closing Disclosure or Settlement Statement
- Deed and Title Insurance Policy
- Loan Agreement and Mortgage Documents
- Property Inspection Reports
- Home Warranty Contracts
- Receipts for Repairs or Upgrades
How to Obtain Copies
- Real Estate Agents: Request duplicates of transaction-related paperwork.
- Closing Agents or Attorneys: Contact the professional who oversaw the closing for legal documents.
- Public Records: Deeds and mortgages can be retrieved from your local recorder’s office or a title company.
While we hope you never face a situation requiring these documents, storing them securely ensures you’re prepared for any unforeseen challenges. A dedicated folder or digital backup is a simple way to protect your interests and peace of mind.
