Iowa Real Estate Practice Exam

Which ground does NOT prompt the Iowa Real Estate Commission to investigate a licensee?

1. A written complaint from a colleague

2. A phone complaint from the public

3. Evidence of financial misconduct

4. Failure to maintain a valid license

The correct answer is: A phone complaint from the public

A phone complaint from the public does not automatically prompt the Iowa Real Estate Commission to investigate a licensee. The Commission typically requires a written complaint to create a formal record and establish a basis for investigation. Written complaints provide detailed information and can substantiate claims against a licensee, allowing for a thorough review. In contrast, the other scenarios—such as a written complaint from a colleague, evidence of financial misconduct, or failure to maintain a valid license—represent more concrete grounds that warrant an investigation. These cases often involve documented issues or behaviors that fall under regulatory scrutiny, leading the Commission to take appropriate action. A valid written complaint or clear evidence of misconduct creates a foundation for potential disciplinary measures, while a simple phone complaint lacks the necessary formality and specificity to initiate an investigation.