Iowa Real Estate Practice Exam

Which of the following is NOT a duty of the listing agent regarding non-agency clients?

1. To provide market analysis

2. To prequalify the buyer for a mortgage

3. To show properties for sale

4. To offer advice on negotiation strategies

The correct answer is: To prequalify the buyer for a mortgage

The correct answer highlights the responsibilities that a listing agent has in their role, particularly when dealing with non-agency clients. When representing a seller, the listing agent traditionally has certain obligations, such as providing market analysis, showing properties for sale, and offering advice on negotiation strategies. However, prequalifying a buyer for a mortgage is not typically within the purview of a listing agent's duties towards non-agency clients. Prequalifying a buyer involves assessing their financial status, creditworthiness, and ability to obtain financing for a property purchase. This task usually falls under the domain of mortgage professionals or lenders, who are trained to evaluate financial qualifications. A listing agent may facilitate the process by recommending lenders or helping buyers gather the necessary information, but it is not a core duty of the listing agent themselves. This distinction emphasizes the boundaries of the listing agent's responsibilities when it comes to non-agency clients and reinforces the understanding that certain tasks require specialized expertise outside the standard role of a real estate agent. The other responsibilities listed are directly related to what a listing agent is expected to perform in order to effectively represent a seller in the market.