Illinois License Law
What is the maximum amount a claimant may receive from the Illinois Real Estate Recovery Fund per transaction?
A$10,000
B$25,000✓ Correct
C$50,000
DThere is no maximum per transaction
Explanation
Under the Illinois Real Estate License Act, the maximum recovery from the Real Estate Recovery Fund is $25,000 per transaction. If multiple claimants arise from the same transaction, the total paid from the fund cannot exceed $25,000 for that transaction.
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Key Terms to Know
Net Operating Income (NOI)
The annual income generated by an income-producing property after subtracting operating expenses, but before debt service.
Discount PointsPrepaid interest paid to a lender at closing to reduce the mortgage interest rate, with each point equal to 1% of the loan amount.
Private Mortgage Insurance (PMI)Insurance required by lenders on conventional loans with less than 20% down payment, protecting the lender — not the borrower — against default.
Math Concepts
State-Specific Concepts
License Law
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