Free Iowa Real Estate Practice Exam: 30 Questions

Brokerage agreements last until closing. Per Iowa Agent and Broker License Law.

Under agency law in Iowa dual agency is legal but only with the consent of all parties to the transaction.

Errors and omissions insurance is a type of professional liability insurance that protects agents against claims of inadequate work or negligent actions.

Agency disclosure must be made verbally by the agent prior to the agent providing specific assistance to potential customers. If an agent is not meeting face-to-face, then the agent should email or mail a disclosure to the potential customer.

It is Iowa state law that brokers must retain copies of purchase contracts for 5 years. So in our case, Tina must hang on to the contract for 5 years.

None, all agents and brokers are required to complete required continuing education.

All of the following actions are allowed aside answering any questions on title, financing, or closing. Unlicensed assistants are not permitted to answer any questions on title, financing, or closing (other than time and place). Per Iowa Codes: licensees; permitted and prohibited activities. 193E—7.13

Placing a sign on any property offering it for sale or lease without the written consent of the owner or the owner’s authorized agent is a violation of Iowa Law. It's essential agents get written permission before they put down a for-sale sign.

Members of the Iowa Real Estate Commission must meet at least one time a year. Per Iowa Real Estate Brokers and Salespersons Code: 543B.50

All interest earned in a real estate trust account must be transferred quarterly to the Iowa treasurer of state.

While Isaac would be at fault for his violation. Isaac and Larry would both be in trouble and at fault since Larry was aware of the violation and did not report it. It is Iowa law for any brokers to report any violations immediately to the commission.

In Iowa, real estate trust accounts must be interest bearing, and all interest earned is transferred quarterly to the treasurer of state. There are a few exceptions but only with property management or rental accounts and even then, a non interest bearing account would still need to be connected to an interest bearing account.

The buyer’s property interest preference is NOT considered confidential information. If you are representing a buyer the following would be considered “confidential information” per Iowa Law: Information that could place the buyer at a disadvantage, whether the buyer is willing to pay more than the asking price, the buyer’s motivating factors, whether the buyer will agree to terms different from those offered, the buyer’s real estate needs, the buyer’s financial information.

Upon obtaining a listing, a broker or licensed salesperson is always obligated to give the seller a legible copy of the written listing agreement.

According to Iowa real estate law ONLY brokers can directly receive fees or bonuses. After the fee is received then the broker can distribute the funds to the salesperson if applicable.

Appointed agency is an agency policy in which two agents with the same company have exclusive representation roles. It is in fact legal in Iowa. An appointed agency is an option and companies do not have to offer it.

The Iowa Real Estate Commission administers and enforces the laws of the state relating to real estate activities. The real estate commission conducts its business in order to protect the public interest. Think of the commission like the executive branch of the federal government. The commission is in charge of enforcing Iowa real estate law, while different parts of the government do other aspects like writing and creating laws.

Seven days. If a license is revoked, suspended, restricted, or voluntarily surrendered, the licensee must immediately notify the licensee's broker within seven days.

The only way salespersons or broker associates can advertise under their own names is if their are the owners of the property they are advertising. The sale MUST be completely a for sale by owner transaction with no exceptions.

Per Iowa licensing law, Iowa Real Estate Licensees are required to take 36 continuing education hours every renewal period.

A fiduciary relationship is one in which the agent is held in a position of special trust and confidence by the principal.

Regarding real estate licenses reciprocity, Iowa has agreements with some states. Here is the list: Arkansas, Georgia, Louisiana, Massachusetts, Minnesota, Mississippi, North Dakota

All of the following actions are allowed aside from making cold calls. Unlicensed assistants are not permitted to make any form of real estate related cold call. Per Iowa Codes: licensees; permitted and prohibited activities. 193E—7.13

The regulations apply to certain houses as determined by the federal government, which is any housing built prior to 1978.

All written listing agreements must include: signatures, include the date the agreement is active, the property it applies to, and the parties applicable. A written listing agreement is not required to disclose the commission splits. A brokerage agreement is however but not a listing agreement.

The terms of members of the Iowa Real Estate Commission are three years long and members can only serve three terms or nine years.. Here is the exact text stating that: “Appointments shall be for three-year terms and shall commence and end as provided in section 69.19. A member shall serve no more than three terms or nine years, whichever is less. Per Iowa Real Estate Brokers and Salespersons Code: 543B.8

If you know that someone is violating Iowa Real Estate Regulations, you should notify (in writing) the Iowa Real Estate Commission. Not notifying the commission can result in trouble for all parties even if you are not directly involved.

If a licensee is found guilty of misrepresentation: his or her license could be revoked, he or she may be fined up to $2,500, and he or she may be required to take additional education or training. Misrepresentation is no joke.

Put simply, the purpose of the Iowa License Law and Regulations is to protect the public.

The Iowa Civil Rights Act prohibits discrimination in housing based on any of these 12 characteristics: race; color; national origin; religion or creed; sex; sexual orientation; gender identity; disability, mental or physical; familial status. Although some local jurisdictions in Virginia do have some additional protected classes, such as age or sexual orientation; the only state-wide protected class other than the 7 federal classes is elderliness.