I have seen a listing agent specify that a preapproval or proof of funds letter had to be submitted 24 hours before the showing and the listing agent had to accompany. It also stated that the funds could not come from a 401K or retirement fund. My buyer decided that was intrusive and wouldn't look.

Not for a showing, but when an offer is submitted. 

that's not required for a showing....it's fully expected to accompany any offer....

If it's a seller requirement.  Agents can suggest, but make those decisions.

   In Tallahassee it is customary and expected for a pre-approval and/or proof of funds letter to accompany an offer, on any house in any price range.  Furthermore, some high-end and luxury home sellers want to see the letter prior to showing.

I've seen this on high-end properties but, never a seller requiring this for low-income housing, Praful. Unusual but, it is the sellers' wishes if you want to show the house. It's a bit intrusive but, it is what it is!

His fiduciary is normal practice

I have bee asked for pre-approvals prior to showings, but I typically refuse.

YES, it is custom here the buyer shares their pre qual letter. We have just started to have communities for work force housing with income limits and they do require a more detailed approval letter that the buyer meets the income limit requirement

There is usually a logical reason for most requests and many are based in past experiences, no matter how unusual the circumstances, so perhaps the seller or the agent has had a past problem with potential buyers not meeting certain criteria.  I am guessing with low income housing, the buyers have guidelines for qualification and maybe the agent wants to be sure no one wastes their time.  I have had a couple of listings that were part of a city program where the buyers had to meet specific criteria in terms of where they lived and their income level, perhaps this was similar? 

I would say that she is being over cautious which is her right. I ALWAYS have to show pre-apps & there could be an income cap limit plus back end ratios that have to be adherred to.

I rarely provide a pre-approval to show a home, but if a listing agent and/or his/her client request it, you might need to provide it if you wish to show the home whether it's low-income or high-end.

We do not have low income housing in my area, so I do not have experience. 

Yes, we ask for it too.

I have seen it, and one seller of an appartment bldg insisted on only showing to people who submitted proof of funds and a purchase offer.  Did not want his tenants disturbed unless the buyer was very serious.

I spoke with the buyer recently and he seemed very happy with the way the deal went down.

I have never heard of that before.

I have sold one condo that was income restricted, and any offer that is financed needs to have a lender letter accompany the offer.

Not for a showing; proof of funds with an offer. Buyer agent should have that.

Good luck.

It is not the normal procedure BUT the property may have deed restrictions as to any buyer must also be low income. Ask for the chart or standard for a family of 2 -3 -4 and 5. The listing agent is being cautious - can't tell if it is to protect the seller or listing agent

I've seen it before and mostly on high end homes .  I guess sellers can request that so people who look at their property are serious buyers only and not lookers.  

Praful Thakkar Not for a showing. I would tell the agent you will provide the information upon contract submission.

It certainly seems like a reasonable request to me.  Why would one not want to share it?  If it is low income and they want the home, they need to see it first, then the next step is to provide the requested documents or move on to another property.

In my market, we must provide loan approval and proof of funds with the offer not as a contractual obligation but as a local standard of practice. 

I've not dealt with low income.  In high dollar value homes and exclusive areas, it is quite common.  Maybe because there is an upper bound of what they can earn to live there?

That would be an unusual requirement in our area.

Very common now for listing agents to ask for the pre-approval ahead of accepting an offer or with the offer

Guessing the listing agent has a high value on his time and as a result may have plenty of it! An advantage to his seller, I think not!

I seen it before on the higher end to keep LOOKERS from wasting everyone's time

Barbara Todaro nailed this one!

I don't believe it is but I can understand a requirement for that.

I believe so.

If I am writting acontract i need some kind of proof they can afford the place.