The Blog

On your latest closed transaction, what did you do with the closed transaction file? Where do you save your closed files? Do you have a fireproof plan? That is, if your house or office burned to the ground, would you still have your transaction file?

Each state has different rules and regulations with regard to the length of time that a transaction file must be retained by the broker. In California, that time frame for document retention by the brokerage is three years (with some exceptions to this rule). However, with many offers migrating from paper files to paperless ones, it takes no extra physical space to retain those files for much, much longer.

Brokers can retain their files in four ways: 1) a paper file, 2) a compact disk, 3) a hard drive or server, and 4) in the cloud. With the California wildfires behind us, I’ve had some time to mull over our file retention program. Since we began paperless real estate transactions, we have always had the “burn down the house” philosophy. That is, if the building were to burn down right now, could we be up and running somewhere else tomorrow? And the answer is “yes”. With email housed in the cloud, and our transaction management system also in the cloud, it would be easy to conduct business from any computer anywhere in the world. And, all of our closed files are backed up in three different offsite (cloud based) locations. So, we feel pretty confident that our data is stored and secure.

But, what about you? Is your data stored securely offsite? Are you fireproof?

Do Agents Need Their Own Copy of the Transaction File?

A recent client wanted to know if she could have a compact disk to deliver to the buyer, to the seller, and another for her own personal file. At Transaction 911, we have no problem delivered compact disks. The thing is that compact disks aren’t fireproof. The best and most foolproof storage is in the cloud. Consider making a Dropbox file or setting up a Dropbox account for storing copies of your transaction files. In this way, you can have access on your phone, your iPad, or any computer with Internet access around the world. (Of course, Google Drive serves the same purpose, so you could try that as well.)

Going Paperless?

If you are a broker considering paperless transaction management or if you are a broker that is currently operating paperlessly but unsure as to whether your business stands up to the “burn down the house” philosophy, feel free to contact the team of transaction coordinators at Transaction 911. We’d love to consult with you and support you in making your transaction management experience as smooth, efficient, and fireproof as possible.