Final answer:
Real estate record retention periods vary by local laws, commonly ranging from 5 to 7 years or longer, depending on state regulations and the type of document.
Step-by-step explanation:
The length of time records must be maintained for real estate activities can vary depending on local laws and the type of records. While you may be familiar with mortgage terms lasting 15 or 30 years, this doesn't directly dictate how long real estate records should be kept. In many jurisdictions, it is a legal requirement to keep real estate documents, which may include sales contracts, leases, and financial records, for a specific length of time. This might often range between 5 to 7 years, or longer, depending upon the state laws and the purpose of the records. Gathering data on recent home sales, such as collecting the sale prices of 35 randomly selected homes, can provide valuable insights about the current real estate market, which in turn can influence credit and lending decisions linked to real estate transactions.