Real Estate Final Exam - Illinois Flashcards

Real Estate Final Exam - Illinois Flashcards Illinois Human Rights Act prohibits discrimination against

the following:USAAMMO

Unfavorable military dischargeSexual orientationAgeAncestryMilitary statusMarital statusOrder of protection

• Real Estate License Act of 2000A unique feature of a land trust is thatA. the trustee controls

both the trustor and the beneficiary.B. the identity of the owner may be concealed.C. the trustor takes ownership of both land and improvements.D. the properties in the trust avoid probate when the beneficiary dies.

• designated agency.Which appraisal licensing category allows an appraiser to

appraise residential property of one to four units without regard to transaction value or complexity?A. Associate trainee real estate appraiserB. Certified residential appraiserC. Certified general real estate appraiserD. None of these

• Mortgage paymentWhat should a buyer's agent check first if a buyer indicates

he does NOT want to buy a home in a floodplain?A. The listings in the MLS computerB. Floodplain maps for the areaC. The seller's disclosure form for a given homeD.House addresses available through FEMA Illinois Transfer Tax:$0.75 per $500 of sales price.Ex: Seller sells home for $151,050. What is the transfer tax?$151,050/500= $302.10 ---> $302 X $0.75=

$227.25Answer: $227.25

• Certified residential appraiserIn Illinois, in order to be eligible for a homestead estate, an

owner mustA. file an eligibility form with the state agency.B.have an equity interest in the property.C. be married.D.reside in the property.If the Real Property Disclosure Report is not provided upon

demand:A. Contract is void.B. Transaction can be

rescinded within 1 business day.C. Transaction can be rescinded within 3 business days.D. Contract is voidable.

• Transaction can be rescinded within 3 business days.

A buyer purchased a home for $98,450 subject to a mortgage of $48,000. What is the total amount of transfer tax due? (There is no municipal tax.)A. $50.50B. $75.75C.

$98.50D. $147.75

B. $75.75

Illinois recognizes which Method of Foreclosure:A.

Nonjudicial: no court action is requiredB. Judicial: property

is sold by court orderC. Strict: court simply awards full legal

title to lender

B. Judicial: property is sold by court order

• The seller's disclosure form for a given home Under the Real Estate License Act of 2000, what must be

in writing?A. Grantee's signature on the deedB. All listingsC. Exclusive-agency and exclusive-right-to-sell listingsD. Agency between a buyer and broker

A forklift operator died intestate, leaving his wife and two children. According to the Illinois law of descent and

distribution:A. his wife and two children will split the estate

equally.B. his wife will get the entire estate.C. his wife will get half of the estate, and the children will split the other half.D. the entire estate will escheat to the county in which the property is located, leaving his wife and children with nothing.

• his wife will get half of the estate, and the children will

split the other half.A licensee is required to provide a consumer with a

no-agency disclosure:A. every time with licensee is

performing clerical acts for the consumer.B. after the sponsoring broker designates the licensee as a non-agent of the consumer.C. at a time intended to prevent disclosure of confidential information from the consumer to the licensee.D. after the licensee obtains confidential information from the customer to assist in the preparation of a contract.

• at a time intended to prevent disclosure of confidential

information from the consumer to the licensee.

• fill in blanks or delete provisions on real estate sales

contracts at the direction of the client.

Real Estate License Act of 2000:State law enacted to

protect the public from fraud, dishonesty, and incompetence in the purchase and sale of real estate. It was amended in 2011.

Real Estate Ads must contain:A. Sponsoring Broker's

business nameB. Managing Broker's nameC. Sponsoring Broker's nameD. Fair Housing poster

• Sponsoring Broker's business name

Which term is most closely associated with the Illinois statute of descent and distribution?A. testateB. community propertyC. intestateD. voluntary alienation

• intestate

Vicarious Liability = no longer in ILLegal doctrine under which a party can be held liable for the wrongful actions of another party.----> no longer in IL What type of license is required to operate a rental finding service?A. Managing BrokerB. Property ManagerC.Residential Leasing AgentD. Sponsoring Broker

• Managing Broker

Referral fees from licensee to licensee are:A. LegalB.

Illegal

• Legal

The Illinois Fraud Act:Requires that contracts for the sale of land and leases that will not be fulfilled within one year from the date they are entered into must be in writing to be enforceable in court.A licensee may discuss a future brokerage agreement with a consumer whose property is exclusively listed with

another sponsoring broker if:A. the owner of the property

agrees to cancel the current active listing.B. the consumer initiates the contact.C. except of Wednesdays.D. all of the above.

• the consumer initiates the contact.

In Illinois, the law requires the following disclosures:-Material Facts:-Interest:-Special

Compensation:-Property Condition:-Other: -Material Facts:Have to disclose things. Ex: Mold-Interest:Ex: Disclose that you're an agent if selling

your own home.-Special Compensation:No kickbacks - only

if in writing from client.-Property Condition:Visual

assessment. Ex: loose wires, broken pipes.-Other:Ex: lead-based paint, radon

• The sponsoring brokerIn Illinois, which type of deed becomes null and void after

one year if it is not recorded?A. General warranty deedB.Special warranty deedC. Bargain and sale deedD. Tax deed A licensee has a vacancy on an apartment building she owns as a partner with an unlicensed family member. The unlicensed partner is responsible for all property management aspects, including the rental of units. In this

case:A. the licensee does not have to disclose her status

as a licensee because she is not involved in any property management decisions.B. the licensee must disclose her status as a licensee even though she is not directly involved in making any management decisions.C. the licensee is not required to disclose her status as a licensee because she has an ownership interest with an unlicensed person.D. the licensee's ownership status does not need to be disclosed because this is a private matter not involving the licensee's brokerage firm.

• the licensee must disclose her status as a licensee even

though she is not directly involved in making any management decisions.Apartments with more than 5 units must return security

deposit + interest within:

30 days.IDFPR may fine/penalize Real Estate Agents/Brokers by

placing monies deposited in:

Real Estate Recovery Fund Real Estate Transaction Records:Must be kept a total of 5 years with recent 2 years on site.

• The sponsored licensee cannot practice real estate

unless his sponsor has an active license.When a sponsoring broker has his or her license suspended for two years, what effect does this have on the other licensees sponsored by that broker?A. Sponsored licensees' licenses are "inactive" until securing a valid sponsorship with a new sponsoring broker.B. Sponsored licensees' licenses will be revoked, subject to reinstatement after one year.C. Sponsored licensees' licenses will also be suspended for a two-year period.D. Suspension has no effect on the sponsored licensees' licenses.

• Managing BrokerTom divided a parcel of Illinois land into four parcels, each

parcel consists of ten acres. The division of land:A.

Requires a survey if the lots are irregularly shaped.B. Is subject to the Illinois Plat Act because there are four parcels.C. Is not subject to the Illinois Plat Act because the lots are larger than five acres.D. Requires a rectangular survey with metes and bounds disclosure.

• Is not subject to the Illinois Plat Act because the lots are

larger than five acres.Dean Witherspoon, a prominent and very successful real estate broker, decides to rent his own home. The ad he