Illinois Broker Exam - State Questions Flashcards

Illinois Broker Exam - State Questions Flashcards An Illinois real estate agent, acting as a dual agent, is showing his listing that he knows has had water problems in the basement in the past. The seller has requested that he not divulge this information unless a buyer specifically asks about water. What is the correct action for the agent to take?The agent should speak up and correct the misinformation because the agent owes the notice of material fact to both the buyer and seller Jon works for Builder Bob, selling his new construction homes in Illinois. Does Jon need a real estate license?No, as long as Jon is Bob's regular employee

A woman owns two multi-unit apartment buildings: a

two-flat and a 12-unit building. She lives in the apartment in the Main Street property. Which of her properties, if any, is exempt from the Illinois Human Rights Act?Neither Agent A is currently working with Buyer B, showing B a variety of homes. Agent A then decides to list their own personal residence. Buyer B is interested in the home and wishes to make an offer. What should Agent A do?Refer Buyer B to another agent to write the offer Joseph, an Illinois real estate broker, has a new listing that is generating a lot of activity. One buyer he has personally shown it to wants to make an offer. Which of the following is INCORRECT?A » Joseph could sell the property as a dual agent and receive both sides of the commissionB » Joseph could sell the property declaring "no agency" to the buyer and receive both sides of the commissionC » Joseph could refer the buyer to another agent to write the offer and receive the listing commission as well as a referral fee from the selling sideD » Joseph could become a "transactional agent", represent neither side, and receive both sides of the commission Illinois does not have "transactional agents." The other three scenarios are all possible, assuming that proper disclosures are made in each case.The Illinois Human Rights Act prohibits discrimination against the federally-protected classes, plus which of the following?Marital status, age, current military status, unfavorable military discharge, ancestry, sexual orientation and order of protection Agent A has two buyer-clients interested in the same property. Today they both leave messages that they wish

to write offers. Agent A must:

The law now requires disclosure and consent for an agent to represent more than one buyer in a transaction. This "contemporaneous buyer" rule requires written disclosure and allows for a buyer to request a different agent.Under Illinois real estate law, it is required that all clients be

given written disclosure of who is their:

designated agent Seller S enters into an exclusive listing agreement with Discount Broker B. What minimum services must B perform?Accept offers on behalf of the seller, assist with making counteroffers and answer questions about the offers

In Illinois, the usual "proof" that the listing broker has earned commission is thea.submission to the seller of a signed offer from a ready, willing, and able buyer.b. closing of the sale.c. signing of an exclusive listing contract.d.deposit of the buyer's earnest money into escrow.

• closing of the sale.

Betty & Joe Agent are licensed with ABC Realty and wish to form a corporation in order to receive their real estate sales commissions. Is this legal in Illinois?Yes, as long as they are married and both sponsored by ABC Realty Which of the following are principal meridians located in Illinois?The 3rd and 4th are located in Illinois, while the 2nd, 3rd, and 4th describe property in Illinois. The 2nd principal meridian is located in western Indiana.An Illinois commercial real estate broker believes he will not receive his commission from the seller of an office complex. Can he place a lien against the property?Yes, but it must be placed before closing In Illinois, an agent who proposes to become a dual agent must have written agreement from both buyer and seller

regarding this situation. The dual agency language:

is specifically dictated in the license law If done for another and for compensation, all of the following real estate activities require an Illinois real estate

license EXCEPT:A » property managementB » consultingC

» time share exchangingD » supervision of rent collection time share exchanging A property management company has a management agreement that is good for one year, and automatically renews for an additional year, unless the owner gives

written notice of termination. In Illinois, this is:

legal, as long as the notification period is 30 days or less Sandy is a top real estate agent and has hired Lo Chee as her licensed personal assistant. Lo Chee does both licensed and unlicensed activities for Sandy. How should Lo Chee be paid?Licensed agents must be compensated for real estate activities from the sponsoring broker. Since Lo Chee has a license, she will be paid for ALL activities by the sponsoring broker.A seller has been in a nursing home for the last 14 months.With regards to the Illinois Real Property Disclosure Act,

this fact:

has no effect as they still must complete the form The largest monetary penalty, per transaction, for a license

law violation in Illinois is:

$25,000

Salvador recently completed his Illinois real estate class.How long does he have to pass the state exam?two years In Illinois, in a typical multiple listing service arrangement, the agent who shows a property without any pre-arrangements regarding agency relationships is

presumed to be the agent of the:

Buyer Agent A leaves Brokerage Company B. Regarding Agent

A's commissions that are still owed on pending sales:

they will be paid directly to Agent A, per Agent A's contract Sally has a master's degree in finance and real estate.What are her educational requirements to receive an Illinois broker's license?She will get no credit for her college degree

A potential tenant walks into a property management company looking to rent one of their apartments. Is any type of agency disclosure required?Yes, there should be written disclosure that the tenant is not being represented A tenant lives in a 100-unit apartment building in Southern

Illinois. When he vacates the apartment, he can expect:

his security deposit, plus interest, returned within 30 days Agent Louisa has shown some out-of-town buyers homes all weekend. Sunday evening they write an offer, which is accepted by the seller. On Tuesday, ABC Relocation Company calls and requests a 25% referral fee, as the buyer works for a company they represent. Which of the following would prevent them from receiving the requested fee?Louisa has an exclusive buyer agency agreement with the buyers A sponsoring broker licensed in Illinois by reciprocity with another state may be exempt from the requirement of maintaining a definite place of business in Illinois if the sponsoring broker Maintains an office in her home state Sandy wishes to start a new real estate company, although she has never had a real estate license of any type. She must be licensed for at least XX years before she can manage an office Two Sponsoring brokers in Illinois must notify DFPR within XX hours of sponsoring an agent 24 The Illinois Real Estate License Act was enacted to:The Illinois Real Estate License Act was passed to both protect the public and determine the competence of those engaging in the business.Guaranteed sales plans in Illinois require that the agreement be in writing, the agent show financial capability

to perform, and:A » a minimum 90 day listing periodB » that

the seller buy a house from the agency guaranteeing the saleC » the agent market the house in the normal way, unless waived by the sellerD » all of the above Although a broker may require A and B, only C is required by law.Failure to pay what taxes could cause an Illinois licensee to be disciplined?Failure to pay state income taxes When posting listings on the company web page, one of the requirements that a broker must comply with is that

each listing must have the:A » priceB » address of the

propertyC » number of bedroomsD » city or geographic area of the property city or geographic area of the property In Illinois, which of these needs to hold a real estate license?A - A licensed attorney acting under a power of attorney to convey real estateB - A person who employs fewer than three apartment leasing agentsC - A resident apartment manager working for an owner, if the manager's primary residence is the apartment building being managedD - A partnership selling a building owned by the

partners B - A person who employs fewer than three apartment leasing agents In Illinois, can you make any additions, deletions, or alterations of a written listing agreement without the written consent of the principal?no