Contracts
In Illinois, an offer to purchase real estate becomes a binding contract when:
AThe buyer signs the offer
BThe seller receives the earnest money
CThe seller accepts the offer and the buyer is notified of that acceptance✓ Correct
DThe home inspection is completed
Explanation
A valid contract requires offer, acceptance, consideration, and mutual assent. In Illinois, an offer becomes a binding contract when the seller accepts (signs without modification) and the buyer receives notification of that acceptance—completing the communication loop. Until the buyer is notified of acceptance, no binding contract exists. A counteroffer voids the original offer and becomes a new offer.
Related Illinois Contracts Questions
- A purchase agreement states the property is to be conveyed by 'general warranty deed, free and clear of all liens and encumbrances.' If a title search reveals an easement on the property, the seller:
- In Illinois, a 'release of contingency' form is used when:
- If a seller accepts a buyer's offer and then receives a higher offer before communicating acceptance, the seller may:
- In Illinois, which of the following is an essential element of a valid real estate contract?
- An exclusive right-to-sell listing agreement differs from an exclusive agency listing in that:
- A contingency clause in a purchase contract:
- An earnest money deposit in Illinois is typically held by:
- What is a 'listing price' versus 'market value' and how do they interact in Illinois real estate?
Practice More Illinois Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Illinois Quiz →