"In Illinois" Flashcards
when farmland sold, possession transfers on March 1st without tax bill proration
x
practice of real estate in illinois governed by
real estate license act of 2000
quick-take
related to condemnation, local units of government given power of eminent domain where plaintiff/condemnor may obtain immediate fee simple title to real property including right of possession and use
in illinois, escheat goes to:
county rather than state
fee simple determinable time period:
while condition passes from owner to owner indefinitely, original grantor’s right of reverter only lasts for 40 years. after that, condition can be enforced by not by threat of losing the property
illinois is a marrital property state and dtiches dower and curtesy for “uniform probate code” that gives surviving spouse and “elective share” on the death of the other spouse
x
illinois homeowners entitled to homestead estate up to 15,000 for single person and 30,000 for married couple
x
easement by prescription
use must be adverse, exclusive, under claim of right, and continuous and uninterrupted for 20 years; “taking” allows multiple parties to tack onto each other consecutively to get to the prescribed period of years for the easement to apply
sole ownership in illinois:
common, but non-owning spouse often has to sign over homestead rights. minors also have to sign if a nonowning spouse
illinois does not recognize community property but
does recognize marital property - also recognizes ownership in trust, partnership and by corporations and llc’s
law presumes two or more owners hold title as tenants in common…
if deed does not say how title is to be held
illinois allows sole owner to execute a deed to herself and…
others as joint tenants
tenancy by entirety is recognized…
in illinois
as a marital property state:
illinois recognizes 2 classes: marital property and non-marital property (prop. given to individual or obtained before marriage)
illinois permits land…
to be held in trust as part of living trust or sole asset in land trust
land trusts are used in illinois but…
trustee must disclose beneficiary’s name
illinois uses Uniform Partnership Act which…
permits real estate to be held in a partnership’s name
illinois has not adopted Uniform Condominium Act, instead…
uses Illinois Condominium Property Act to govern creation of condos
illinois real estate licensees can sell cooperative units without getting…
securities license
time share units are…
highly regulated
exemptions from property taxes:
schools, churches, etc. Exemptions also for homesteads (single family home owners up to $6000), senior citizens, and remodeling
Assessment
official valuation of a home by county or township appraisers
taxes are usually at this value
about 1/3 of fair market value
equalization factor
used to achieve uniformity in tax assessments
for tax value total equation….
1/3 value, equalize value, subtract exemptions, multiply adjusted assessed value by tax rate
taxes are adjusted…
every 4 years a parcel of land gets a full reassessment
real estate taxes are assessed…
once per year on jan 1st and are “prior first liens” and then due the following year, 1/2 by june 1 and the second 1/2 by sept 1
failure to pay tax liens may result in property selling via
annual tax sale, forfeiture sale, scavenger sale
ssa
“special service areas” - special taxing districts where costs of streets. landscaping, etc is passed on to homeowners in that area
mechanic’s lein
person who did work must have contract with the owner - can take priority over other liens if added value to property - lien right lasts for 2 years
judgements are
general liens on all real and personal property - can last 7 years
brokers can put a lien on property in amount of commission if…
it is a commercial property
page 220 - table of lien categories
x
illinois land sales registration act of 1999
regulates sale of land divided into 25 or more lots and offered as part of a common promotional plan
brokerage agreement is
written or oral between sponsoring broker and consumer
net listings are…
legal but not advised
any exclusive listing…
must be in writing
paying someone a commission…
does not create agency
licensees are considered to be working for…
the consumer that they’re working with
a licensee working with a buyer….
is not a subagent of the seller
exclusive brokerage agreements have an end…
date
safety clause
after the listing agreement expires, agent still entitled to comission if a buyer actually buys later on
agents must disclose whose interests they legally represent…
if the other party has no agent
disclosures that must be in the listing agreement:
material facts, interest, special compensation, earnest money and purchaser default, property condition
cannot obtain written listings that contain black…
spaces to be filled in later
all written exclusive listing agreements must include…
the list price of the property, commission and time of payment, duration and end date of agreement, name of broker and seller, signature of broker and seller, address/identification of property (also parcel identification # is good), duties of listing broker, statement of nondiscrimination, statement of antitrust
married couples must have both…
spouses sign the listing
clients shall not be vicariously liable…
for acts/omissions of licensee
must be in writing that it’s illegal to not show properties to…
protected classes
exclusive listing agreements must specify these minimum services…
accept and present all offers, assist client in negotiating, answer client’s questions
source of compensation does not…
determine the relationship. A buyer’s broker may be compensated by either buyer or seller.
buyer’s broker obligated to keep…
all confidential info remaining confidential
after contract expires, sponsoring broker and broker are not…
required to do anything else
metes and bound in illinois used when…
describing irregular tracts, portions of recroded lot, fractions of a section and will include rectangular survey method
rectangular survey system relates to…
3 meridian lines (2 in ilinois, one in indiana)
lot and block system…
is used in Illinois and subdivision descriptions are most popular
contracts for sale of land or leases that will not be fulfilled within 1 year must…
be in writing to be enforceable
exclusive listing contracts are
unilateral, not bilateral
contracts entered into by a minor (younger than 18) are…
voidable until minor reaches majority and for about max of 6 months after
statute of limitations lasts….
10 years for written contracts, 5 years for oral
licensees cannot leaves spaces to be…
filled in later or leave blank spaces - all changes directed by principals, buyers/sellers must initial changes
sales contracts needs to say…at the top
real estate sales contract
title to personal property conveyed by…
a bill of sale
sponsoring broker must keep earnest money in….
separate non-interest escrow/trust account - must maintain journal and ledger - deposited by end of next busienss day - no commingling (mixing own + clients’ money) or conversion (using escrow funds for own use)
if no specific form of ownership is listed on deed, default is…
tenancy in common
most deeds must be …. to be recognized in court
acknowledged, notarized
illinois and county tax stamps…
50 cents per $500 for Illinois, 25 cents per $500 for county
adverse possession timeline
20 years uninterrupted use or else 7 years if current owner has flawed title but all taxes paid
titles searches go back this many years
40 for normal, 75 if possible litigation
a title insurance policy is the most commonly used evidence of…
proof of good title
lease agreements be in writing to be enforceable if ….
for more than 1 year
illinois property managers must be…
licensed as brokers or managing brokers unless resident managers of apt. buildings
security deposits are treated as…
earnest money - must be put in separate account by end of next biz day and non-interest account
illinois real estate license act of 2000…
governing document for fair housing and ethical practices
illinois human rights act…
amplifies federal legislation for illinois - adds mental disability, military status, sexual orientation, etc
illinois environmental protection agency
maintain state’s air, land, water
all residences must be equipped with what type of detector?
carbon monoxide
seller not required to test or mitigate radon but…
must give buyer a pamphlet giving risks of radon
agency relationships are this type of law
statutory
law of agency defines rights between
principal and the agent
no dual agency when
agent is a party
licensees must deliver executed sales contracts within
24 hours
licensed personal assisttants must have an employment agreement with…
the sponsoring broker
who may collect a commission?
managing or sponsoring broker (they may then share with licensees)
closing of the sale is usually proof that…
broker has produced a buyer and earned a commission
illinois subscribes to which title theory -
intermediate (not title or lien theory)
what type of foreclosure is illinois -
judicial, must be brought about by court proceedings
taxes in illinois are paid
in arrears (last tax bill / 360 X #days from Jan 1 until closing (what seller owes buyer)
