Agency
A seller instructs their Iowa listing agent to tell buyers there are no foundation problems, even though the agent knows there are cracks. The agent should:
AFollow the client's instructions to avoid losing the listing
BRefuse to make the statement and disclose the known material defect✓ Correct
CMake the statement but note it in the listing remarks
DWithdraw from the listing without disclosing anything
Explanation
An agent must not make false statements or conceal material defects even if instructed by the client. Iowa law and IREC rules require agents to disclose known material facts affecting the property.
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