Agency
In Illinois, an agent may not purchase property listed with their firm for themselves or an immediate family member without:
APermission from the managing broker only
BDisclosure to and written consent from the seller✓ Correct
CFiling a special report with IDFPR
DConverting to managing broker status first
Explanation
An agent who wishes to purchase a property they have listed (or that is listed by their firm) for themselves or a family member must disclose their licensee status and the nature of their interest to the seller and obtain the seller's written consent. Failure to do so constitutes a breach of fiduciary duty and violates Illinois license law.
People Also Study
Related Illinois Questions
- Under Illinois law, when must a broker disclose their licensee status to a party in a real estate transaction?Illinois License Law
- In Illinois, when a licensee represents both the buyer and seller in a transaction without the consent of both parties, this constitutes:Agency
- The Illinois Real Estate License Act prohibits a licensee from placing a 'for sale' sign on a property without:Illinois License Law
- Under the Illinois Real Estate License Act, a broker who acts as a dual agent without proper disclosure and consent is subject to:Illinois License Law
- An Illinois broker who moves to another state and wishes to keep their Illinois license active must:Illinois License Law
- If an Illinois broker is acting as a buyer's agent and the property they are showing is listed by their own firm, the situation is best described as:Agency
- Which of the following is NOT a fiduciary duty owed by an Illinois broker to their client?Agency
- The fiduciary duty of 'reasonable care' owed by an Illinois broker to their client requires the broker to:Agency
Key Terms to Know
Fiduciary Duty
The highest legal duty an agent owes to a principal — requiring the agent to act in the principal's best interest above all others.
Net Operating Income (NOI)The annual income generated by an income-producing property after subtracting operating expenses, but before debt service.
Buyer's AgentA real estate licensee who represents the buyer's interests in a transaction, owing fiduciary duties to the buyer.
Seller's Agent (Listing Agent)A real estate licensee who represents the seller's interests, markets the property, and owes fiduciary duties to the seller.
Practice More Illinois Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Illinois Quiz →