For how long must a principal broker maintain records of transactions?

The correct choice is five years because Arkansas regulations require that principal brokers retain records of real estate transactions for a minimum of five years. This timeframe ensures that sufficient documentation is available for any potential audits, disputes, or inquiries that may arise regarding the transactions. Retaining records for this duration helps maintain accountability and transparency within the real estate industry, as well as protect both the broker and their clients.

Maintaining transaction records for five years aligns with best practices in the industry, enabling brokers to refer back to the records if any issues or questions are raised over time. This retention policy also provides brokers with the information they may need for training purposes and to uphold ethical standards.