Illinois Auctioneer Licensing Examination Practice
Questions and Correct Answers EXAM ACTUAL
LATEST VERSIONS 185 QUESTIONS AND
CORRECT VERIFIED ANSWERS WITH
RATIONALES (100% CORRECT) A+ GRADED
ASSURED
A borrower has no protection from a deficiency judgment when ______________. -
CORRECT ANSWER: The auction sale price is less than the mortgage balance
The lender will file a deficiency judgment against the borrower when there's a loan
balance after the foreclosure auction.
A hurricane destroyed Stu's brokerage, including all of his records. In addition to
immediately obtaining copies of and reconstructing the missing records, what is he
required to do in this case? - CORRECT ANSWER: Notify the IDFPR enforcement
division within 30 days by signature-restricted delivery.
A landlord who rents five or more units in one building should provide a written cost of
repairs within _______ days of the tenant vacating. - CORRECT ANSWER: 30
If the building or complex comprises five or more units, the landlord should provide the
tenant with a written statement noting the property damage that must be repaired, and
an estimate of the repair costs, within 30 days of a tenant vacating.
A licensee in Illinois who performs ministerial acts for a customer to a transaction is
known as a ______. - CORRECT ANSWER: Non-agent
,According to Illinois law, any violations a licensee commits may be shared by the
licensee's ______. - CORRECT ANSWER: Designated managing broker and
sponsoring broker
According to Illinois license law, which of the following transaction records must a
sponsoring broker retain? - CORRECT ANSWER: Transaction ledger cards
License laws don't dictate how long firms should retain accounting records, policy
manuals, or employment agreements. Transaction ledger cards contain records of
escrow funds, so they're regulated by license law.
According to Illinois license law, which of these parties is exempt from the licensing
requirement when performing real estate brokerage activities? - CORRECT ANSWER:
Persons acting under a court order
According to Illinois statutes, licensees who have a personal interest to a transaction
must _____. - CORRECT ANSWER: Disclose their status as a licensee
According to the Residential Real Property Disclosure Act in Illinois, who has the
responsibility to disclose the condition of a property? - CORRECT ANSWER: The seller
Adam works for a rental finding service. He's working with a landlord, Trendmaker
Apartments. He just located a tenant for one of the apartments, and the tenant has
signed a lease. Which of these statements is true? - CORRECT ANSWER: Upon
entering into a lease contract, the tenant must be provided with specific information
regarding the unit and the owner.
Individuals who work for a rental finding service don't do so in a licensed capacity. They
therefore don't represent either party, but work to bring the parties together. Tenants
must be provided with specific information regarding the unit and the owner.
,After completing the pre-licensing education requirement, what else must an Illinois
broker license applicant pass to become licensed? - CORRECT ANSWER: Licensing
examination
Applicants must pass a licensing exam after completing their pre-licensing education.
After purchasing a short sale property, what can Jeremy do to clear clouds on the
property's title? - CORRECT ANSWER: File a suit to quiet title.
An Illinois licensee may not use advertising or marketing that ______. - CORRECT
ANSWER: Is deceptive or misleading
Analise received earnest money from her clients after executing a contract between all
parties. When must her managing broker deposit the earnest money? - CORRECT
ANSWER: Within one business day after the contract is signed or per the contract terms
The managing broker must deposit earnest money in an escrow account within one
business day after the contract is signed or per the contract terms.
Are property stigmas required to be disclosed in Illinois? - CORRECT ANSWER: No,
stigmas aren't required to be disclosed in Illinois.
As an Illinois managing broker, Derek knows better than to answer some questions from
his buyer clients when there's a dual agency relationship in place. He's representing
Tina, a buyer, and Joe Sanchez, the seller, in a dual agency relationship. Today, he's
meeting with Tina. Which of the following questions is Derek NOT allowed to answer,
given the dual agency relationship? - CORRECT ANSWER: Will the seller include the
washer and dryer?
Illinois licensees working as dual agents are allowed to answer questions related to
specific property information that isn't confidential, but they aren't allowed to negotiate
for either the buyer or the seller.
, As the property manager, Galena places security deposits in an interest-bearing
account for her landlord, who owns 42 rental units. Galena isn't permitted to accept a
lease term of under one year. Which of these statements is FALSE? - CORRECT
ANSWER: Galena must pay each tenant the interest earned on their deposit monthly.
Landlords must annually disburse to tenants any interest earned on their security
deposits.
Attorneys performing real estate activities under a properly executed ______ are
exempt from Illinois real estate license requirements. - CORRECT ANSWER: Power of
attorney
Based on Illinois license law, which of these activities requires a real estate license
when it's performed on someone else's behalf and for compensation? - CORRECT
ANSWER: Negotiating a real estate contract
Bert is a sponsored broker in Illinois who's selling his own house. Since he's acting as
his own broker, which of these rules must he follow? - CORRECT ANSWER: He can
use a For Sale by Owner yard sign, but it must say "agent owned."
Bethany's Illinois residential leasing agent license permits her to perform which of the
following functions? - CORRECT ANSWER: Represent Jackson and Rich in seeking
tenants for their duplex.
Beverly holds an active New York broker's license. She's worked for a broker for several
years, and her license is in good standing. Under Illinois reciprocity regulations, which of
the following is correct? - CORRECT ANSWER: She must complete all Illinois pre-
licensing coursework and pass both portions of the licensing exam.
Illinois doesn't have a reciprocity agreement with New York, so Beverly must complete
the entire Illinois pre-licensing process.
Questions and Correct Answers EXAM ACTUAL
LATEST VERSIONS 185 QUESTIONS AND
CORRECT VERIFIED ANSWERS WITH
RATIONALES (100% CORRECT) A+ GRADED
ASSURED
A borrower has no protection from a deficiency judgment when ______________. -
CORRECT ANSWER: The auction sale price is less than the mortgage balance
The lender will file a deficiency judgment against the borrower when there's a loan
balance after the foreclosure auction.
A hurricane destroyed Stu's brokerage, including all of his records. In addition to
immediately obtaining copies of and reconstructing the missing records, what is he
required to do in this case? - CORRECT ANSWER: Notify the IDFPR enforcement
division within 30 days by signature-restricted delivery.
A landlord who rents five or more units in one building should provide a written cost of
repairs within _______ days of the tenant vacating. - CORRECT ANSWER: 30
If the building or complex comprises five or more units, the landlord should provide the
tenant with a written statement noting the property damage that must be repaired, and
an estimate of the repair costs, within 30 days of a tenant vacating.
A licensee in Illinois who performs ministerial acts for a customer to a transaction is
known as a ______. - CORRECT ANSWER: Non-agent
,According to Illinois law, any violations a licensee commits may be shared by the
licensee's ______. - CORRECT ANSWER: Designated managing broker and
sponsoring broker
According to Illinois license law, which of the following transaction records must a
sponsoring broker retain? - CORRECT ANSWER: Transaction ledger cards
License laws don't dictate how long firms should retain accounting records, policy
manuals, or employment agreements. Transaction ledger cards contain records of
escrow funds, so they're regulated by license law.
According to Illinois license law, which of these parties is exempt from the licensing
requirement when performing real estate brokerage activities? - CORRECT ANSWER:
Persons acting under a court order
According to Illinois statutes, licensees who have a personal interest to a transaction
must _____. - CORRECT ANSWER: Disclose their status as a licensee
According to the Residential Real Property Disclosure Act in Illinois, who has the
responsibility to disclose the condition of a property? - CORRECT ANSWER: The seller
Adam works for a rental finding service. He's working with a landlord, Trendmaker
Apartments. He just located a tenant for one of the apartments, and the tenant has
signed a lease. Which of these statements is true? - CORRECT ANSWER: Upon
entering into a lease contract, the tenant must be provided with specific information
regarding the unit and the owner.
Individuals who work for a rental finding service don't do so in a licensed capacity. They
therefore don't represent either party, but work to bring the parties together. Tenants
must be provided with specific information regarding the unit and the owner.
,After completing the pre-licensing education requirement, what else must an Illinois
broker license applicant pass to become licensed? - CORRECT ANSWER: Licensing
examination
Applicants must pass a licensing exam after completing their pre-licensing education.
After purchasing a short sale property, what can Jeremy do to clear clouds on the
property's title? - CORRECT ANSWER: File a suit to quiet title.
An Illinois licensee may not use advertising or marketing that ______. - CORRECT
ANSWER: Is deceptive or misleading
Analise received earnest money from her clients after executing a contract between all
parties. When must her managing broker deposit the earnest money? - CORRECT
ANSWER: Within one business day after the contract is signed or per the contract terms
The managing broker must deposit earnest money in an escrow account within one
business day after the contract is signed or per the contract terms.
Are property stigmas required to be disclosed in Illinois? - CORRECT ANSWER: No,
stigmas aren't required to be disclosed in Illinois.
As an Illinois managing broker, Derek knows better than to answer some questions from
his buyer clients when there's a dual agency relationship in place. He's representing
Tina, a buyer, and Joe Sanchez, the seller, in a dual agency relationship. Today, he's
meeting with Tina. Which of the following questions is Derek NOT allowed to answer,
given the dual agency relationship? - CORRECT ANSWER: Will the seller include the
washer and dryer?
Illinois licensees working as dual agents are allowed to answer questions related to
specific property information that isn't confidential, but they aren't allowed to negotiate
for either the buyer or the seller.
, As the property manager, Galena places security deposits in an interest-bearing
account for her landlord, who owns 42 rental units. Galena isn't permitted to accept a
lease term of under one year. Which of these statements is FALSE? - CORRECT
ANSWER: Galena must pay each tenant the interest earned on their deposit monthly.
Landlords must annually disburse to tenants any interest earned on their security
deposits.
Attorneys performing real estate activities under a properly executed ______ are
exempt from Illinois real estate license requirements. - CORRECT ANSWER: Power of
attorney
Based on Illinois license law, which of these activities requires a real estate license
when it's performed on someone else's behalf and for compensation? - CORRECT
ANSWER: Negotiating a real estate contract
Bert is a sponsored broker in Illinois who's selling his own house. Since he's acting as
his own broker, which of these rules must he follow? - CORRECT ANSWER: He can
use a For Sale by Owner yard sign, but it must say "agent owned."
Bethany's Illinois residential leasing agent license permits her to perform which of the
following functions? - CORRECT ANSWER: Represent Jackson and Rich in seeking
tenants for their duplex.
Beverly holds an active New York broker's license. She's worked for a broker for several
years, and her license is in good standing. Under Illinois reciprocity regulations, which of
the following is correct? - CORRECT ANSWER: She must complete all Illinois pre-
licensing coursework and pass both portions of the licensing exam.
Illinois doesn't have a reciprocity agreement with New York, so Beverly must complete
the entire Illinois pre-licensing process.
