Unit 14 - Illinois Real Estate License Law

Question 1

Blind ad

Answer 1

An advertisement whereby the sponsoring broker’s name is not identified in the advertisement.

Question 2

Broker

Answer 2

One who acts as an intermediary on behalf of others for a fee or commission.

Question 3

Designated Agency

Answer 3

A contractual relationship between a sponsoring broker and a client in which one of more licensees associated with, or employed by, the broker are designated as an agent of the client.

Question 4

Designated Managing Broker

Answer 4

A broker who has supervisory responsibilities for licensees in one or, in the case of a multi-office company, more than one office and who has been appointed as such by the sponsoring broker.

Question 5

Division Of Real Estate

Answer 5

A division of IDFPR responsible for safeguarding the public by enforcing professional licensure.

Question 6

Illinois Department Of Financial And Professional Regulation (IDFPR)

Answer 6

The entity responsible for administering and enforcing the Illinois Real Estate License Act of 2000.

Question 7

Informed Written Consent

Answer 7

Consent given by a client that allows a licensee to act as a dual agent.

Question 8

License

Answer 8

(1) A privilege or right granted to a person by a state to operate as a real estate broker, managing broker, or leasing agent. (2) The revocable permission for a temporary use of land—a personal right that cannot be sold.

Question 9

managing broker

Answer 9

a real estate professional who reports directly to the designated broker and manages mid-level aspects of the real estate firm

Question 10

Real Estate Administration And Disciplinary Board

Answer 10

Illinois regulatory body tasked with maintaining standards of professional conduct, discipline, and examination.

Question 11

Real Estate Recovery Fund

Answer 11

A fund established to cover claims of aggrieved parties who have suffered monetary damage through the actions of a real estate licensee.

Question 12

Real Estate Research And Education Fund

Answer 12

A fund maintained by the Illinois State Treasury for research and education at state institutions of higher education or other organizations for research and the advancement of education in the real estate industry.

Question 13

Residential Leasing Agent

Answer 13

A person who is employed by a broker to engage in licensed activities limited to leasing residential real estate who has obtained a license as provided for in Section 5-5 of the Act

Question 14

Sponsoring Broker

Answer 14

The broker who is sponsoring a licensed broker, managing broker, or leasing agent.

Question 15

Renewal period means:

Answer 15

the period beginning 90 days before the expiration date of a license

Question 16

Licensee failing to comply with continuing education requirements what is the maximum allowable fine?

Answer 16

$2000

Question 17

A sponsoring broker licensed in Illinois by reciprocity with another state must what…

Answer 17

appoint the secretary, in writing, to act as the agent of notice for all judicial and legal notices.

Question 18

Leasing of residential property requires how many hours of instruction?

Answer 18

15 hours plus passing a written exam

Question 19

In Illinois, all real estate brokers’ licenses expire on

Answer 19

April 30 of every even-numbered year.

Question 20

Maximum amount an aggrieved person can be awarded a judgement against a real estate licensee for violation of the Illinois Real Estate License Act

Answer 20

The aggrieved party has the right to a maximum award amount of $50,000 from the real estate recovery fund, plus court costs and attorney’s fees.

Question 21

The initial broker’s license fee for a partnership, LLC, or corporation is

Answer 21

$125

Question 22

After the first renewal period, to meet the continuing education requirement in Illinois, brokers must obtain how many hours of continuing education during the current term of the license?

Answer 22

12 hours

Question 23

An individual or entity that engages in the sale of assignable contracts on 2 or more transactions in any 12-month period needs what?

Answer 23

A real estate license. Including those individuals doing a certain amount property flipping to obtain a license.

Question 24

Under what conditions may a sponsoring broker who lives in a state that has a reciprocal licensing agreement with Illinois be issued an Illinois license?

Answer 24

The sponsoring broker’s home state has a reciprocal licensing agreement with Illinois.

Question 25

Real Estate Team name requirements.

Answer 25

Team names may not include misleading terms, such as “company,” “realty,” “real estate,” “agency,” “associates,” “brokers,” “properties,” or “property.”

Question 26

A real estate broker was responsible for a chain of events that resulted in the sale of one of his client’s properties. The broker is legally called the…..?

Answer 26

**Procuring Cause. **

Commission disputes boil down to what is referred to in the industry as “procuring cause.” The agent who ultimately caused the buyer to purchase the home and earned the commission is generally the procuring cause agent.