When you purchase a home, you need to sign an enormous pile of mortgage and closing documents, where each document can total hundreds of pages or more. The huge dilemma: they will likely take up a huge part of your storage space, so you may not want to file all of it. However, you also don't want to throw out or destroy something crucial.
Still, it's important to keep these documents on hand after closing on your home for future reference. You may need them later on in the event that you need to file a claim, either against the seller or any professional from your home-buying team. Your closing company will also keep a record of your closing documents, but it’s wiser to keep them handy while you’re residing in the home and when you’re preparing to sell it. Here’s a list of real estate documents you should keep filed in a safe and accessible place:
Real Estate Purchase Agreement
The real estate purchase agreement is a legally binding contract signed by both the buyer and seller. It sets forth all the terms and conditions for the home purchase, including the purchase price, closing date, essential rights and conditions, and other terms agreed upon by both parties.
Amendments
These are documents that alter or amend the terms of your signed purchase contract, and they're worth keeping since they are often related to home inspections or appraisals.
Buyer Representation Agreement
This is the contract you signed when you hire a real estate agent to represent you in your home purchase. This agreement is between you and the brokerage and outlines the terms of the relationship with your agent.
Seller's Disclosure
Sellers are required by law to disclose certain issues with the home to their potential buyers. It is known as the “caveat emptor,” a general rule in buying and selling real estate which means “let the buyer beware.”
Home Inspection Report
This detailed document produced by your home inspector shows the condition of the home and its potential problems. It's an itemized list of the inspector’s findings, highlighting which parts of the home are still in good condition and which are in need of repair or replacement.
Closing Disclosure
The closing disclosure is provided by the mortgage lender to a borrower at least three business days before settlement. It includes all the things related to your mortgage loan, such as the loan term, loan type, the interest rates, and all the estimated costs associated with closing and your mortgage.
Homeowner's Insurance Policy
Your policy includes all the terms, conditions, premium notice, and policy number for your homeowner's insurance.
Title Insurance
Title insurance offers protection against any defects with the title, legal ownership status, or any competing claims to a home.
Property Deed
The property deed is a legal document that confirms your ownership rights to the home. It's proof you can show to anyone that you now hold the title and you legally own the home you’re residing in.