Listing Agent's first mistake in regards to the home buyer. 
They do little in regards to make sure the lender chosen by the home buyer can perform in a 30 day period. Many big retail banks like Wells Fargo and BoA take 45-60 days to close and that is if everything goes smoothly.
The listing agent needs to have a lender that can do specialty lending in case the home buyer can not get a traditional loan.
In most cases this deals with properties that have damage. Or there are condos that are considered non-warrantable. They do not qualify for Fannie/ Freddie /FHA loans. The home buyer needs to have options. Have this conversation up front, otherwise it may kill the deal at the end.
THE LISTING AGENT & HOME BUYER NEED TO UNDERSTAND THE DIFFERENT FINANCING OPTIONS
Many lenders have overlays above the seller guidelines from Freddie/Fannie etc. They need to know more than Direct Lending vs brokering. I guarantee the home buyer will not know the difference. A good listing agent is more than someone who can talk short sales. Understanding the home buyer and their lending situation will definitely keep the red flags emerging at the end.
What should the home buyer do upfront to avoid these issues down the road?
A conversation of what lending programs on the property are potentially available. The home buyer needs to have some flexibility with the type of program they want. Home buyers need to understand the collateral (house) needs to qualify for the loan , as well as the buyer.
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