Iowa Real Estate Practice Exam

What must a broker include on their website that advertises broker services?

1. Testimonials from satisfied clients

2. The name of the brokerage, address of the home office, and states of license

3. Pricing information for all services

4. A list of all agents in the brokerage

The correct answer is: The name of the brokerage, address of the home office, and states of license

A broker's website that advertises broker services is required to include specific information to ensure compliance with state regulations and to promote transparency. Including the name of the brokerage, the address of the home office, and the states in which the broker is licensed is crucial because it allows consumers to verify the legitimacy and credentials of the brokerage. This information establishes trust and provides potential clients with a clear understanding of who they are dealing with. The requirements reflect the broader goal of the real estate industry to promote ethical practices and safeguard consumers. By ensuring that this essential information is presented, consumers can make informed decisions when engaging broker services. This level of disclosure is often mandated by state real estate commissions to maintain professional standards within the industry. Other options mentioned, like testimonials, pricing information, or a list of all agents, may be useful for marketing purposes or to provide additional insights to clients, but they are not legally required components of a brokerage's advertising. These elements do not fulfill the critical role of identification and transparency that the mandated information serves.