ILLINOIS REAL ESTATE 2026 QUESTIONS AND ANSWERS
SURE A+
✔✔External obsolescence - ✔✔Negative factors not on the subject property
✔✔Conditional-use permit - ✔✔Allow nonconforming but related land uses necessary
for the common good (ex: medical facility in residential neighborhood)
✔✔Variance - ✔✔Permits prohibited land uses to avoid undue hardship; an exception
from zoning ordinances for a structure built within a current zoning ordinance
✔✔Non-conforming use - ✔✔Use of a property that can continue after a zoning
ordinance prohibits that use; an exception from zoning ordinances for a structure built
before zoning ordinance changes
✔✔Blockbusting - ✔✔Panic selling; encouraging people to sell or rent their homes by
claiming that the entry of a protected class of people will negatively impact value
✔✔Steering - ✔✔Channeling home-seekers to particular neighborhoods or discoursing
potential buyers from certain areas
✔✔Human Rights Act Exempts... - ✔✔1. owners of single family homes if: they own
less than 3 properties, they comply with advertising laws, they were the last resident,
and they sold without a licensed agent
2. owner occupied buildings with 5 or less units
3. private rooms in private homes occupied by a family/family member
4. religious or non-profit organizations
5. restricting rentals based on sex
6. individuals who have been convicting
7. housing for elderly (62 years or older) and 80% of the units are occupied by residents
55 or older
✔✔IL requires carbon monoxide detectors... - ✔✔within 15 feet of all bedrooms
✔✔Debit - ✔✔An amount to be paid by the buyer to the seller
✔✔Credit - ✔✔An amount payable to the buyer or the seller
✔✔Escrow - ✔✔A method of closing in which a disinterested third party coordinates
closing actives on behalf of the buyer and seller
✔✔Arrears - ✔✔Money to be paid for existing debts
,✔✔Accrued items - ✔✔Expenses that are prorated and owed to the seller to be paid by
the buyer- the seller pays and the buyer is given credits at the closing
✔✔Prepaid items - ✔✔Expenses that are prorated that have been prepaid by the seller
and not fully used up- credits the seller
✔✔Abstract of title - ✔✔Condensed history of a title to a particular parcel of real estate
including conveyances and encumbrances
✔✔acceleration clause - ✔✔When enforced it can make the entire debt due
immediately if the borrower defaults on an installment or other covenant
✔✔accession - ✔✔Assuming title with additions or improvements to real property
✔✔accretion - ✔✔The increase or addition of land by deposit of soil or sand washed up
naturally from water
✔✔actual eviction - ✔✔The legal process that results in a tenant being physically
removed
✔✔aderse possession - ✔✔The actual, open, notorious, hostile, and continuous
possession of anthers land under a claim of right; IL=acquire title after 20 years
✔✔affidavit of title - ✔✔A written statement made under oath by a seller or grander of
real property and acknowledged by a notary public
✔✔alienation - ✔✔The act of transferring property to another
✔✔allodial system - ✔✔Land ownership in which land is held free and clear of any rent
or service due to the government
✔✔appropriation - ✔✔The way a taxing body actually authorizes the expenditure of
funds and provides for the sources of the sources
✔✔appurtenance - ✔✔A right, privilege, or improvement belonging to, and passing, with
the land
✔✔appurtenant easement - ✔✔An easement that is annexed to the ownership of one
parcel and allows the owner the use of the neighbors land
✔✔assignment - ✔✔The transfer in writing of interest in a bond, mortgage, lease, or
other instrument
, ✔✔attachment - ✔✔The act of taking a persons property into legal custody by writ or
other judicial order
✔✔automatic extension - ✔✔A clause in a listing agreement stating that the agreement
will continue automatically for a period of time after its expiration
✔✔avulsion - ✔✔The sudden tearing away of land
✔✔balance - ✔✔The appraisal principal stating the greatest value in a property will
occur when the type and size of the improvements are proportional to each other as
well as the land
✔✔basis - ✔✔The financial interest that the IRS attributes to an owner of an investment
property for the purpose of determining annual depreciation and gain or lose on the sale
of the asset
✔✔bequest - ✔✔A gift of personal property under a will
✔✔binder - ✔✔An agreement that may accompany an earnest money deposit as
evidence of the purchasers good faith an intent
✔✔blind ad - ✔✔An advertisement that does not identify sponsoring broker
✔✔boot - ✔✔Money or property given to make up any difference in value when two
properties are exchanged
✔✔brownfield - ✔✔Defunct, derelict, or abandoned commercial or industrial sites; may
have toxic wastes
✔✔Brownfields Legislation - ✔✔Provides federal funding to clean up brownfield sites
✔✔capital gain - ✔✔Profit earned from the sale of an asset
✔✔capitalization - ✔✔Estimating the value of a property using the proper rate of return
on the investment and the annual net operating income expected to be produced
✔✔capitalization rate - ✔✔The rate of return a property will produce on the owners
investment
✔✔cash rent - ✔✔In an agricultural lease, the amount of money given as rent to the
landowner at the outset of the lease, as opposed to sharecropping
✔✔certificate of sale - ✔✔the document given to the purchaser of delinquent property
taxes
SURE A+
✔✔External obsolescence - ✔✔Negative factors not on the subject property
✔✔Conditional-use permit - ✔✔Allow nonconforming but related land uses necessary
for the common good (ex: medical facility in residential neighborhood)
✔✔Variance - ✔✔Permits prohibited land uses to avoid undue hardship; an exception
from zoning ordinances for a structure built within a current zoning ordinance
✔✔Non-conforming use - ✔✔Use of a property that can continue after a zoning
ordinance prohibits that use; an exception from zoning ordinances for a structure built
before zoning ordinance changes
✔✔Blockbusting - ✔✔Panic selling; encouraging people to sell or rent their homes by
claiming that the entry of a protected class of people will negatively impact value
✔✔Steering - ✔✔Channeling home-seekers to particular neighborhoods or discoursing
potential buyers from certain areas
✔✔Human Rights Act Exempts... - ✔✔1. owners of single family homes if: they own
less than 3 properties, they comply with advertising laws, they were the last resident,
and they sold without a licensed agent
2. owner occupied buildings with 5 or less units
3. private rooms in private homes occupied by a family/family member
4. religious or non-profit organizations
5. restricting rentals based on sex
6. individuals who have been convicting
7. housing for elderly (62 years or older) and 80% of the units are occupied by residents
55 or older
✔✔IL requires carbon monoxide detectors... - ✔✔within 15 feet of all bedrooms
✔✔Debit - ✔✔An amount to be paid by the buyer to the seller
✔✔Credit - ✔✔An amount payable to the buyer or the seller
✔✔Escrow - ✔✔A method of closing in which a disinterested third party coordinates
closing actives on behalf of the buyer and seller
✔✔Arrears - ✔✔Money to be paid for existing debts
,✔✔Accrued items - ✔✔Expenses that are prorated and owed to the seller to be paid by
the buyer- the seller pays and the buyer is given credits at the closing
✔✔Prepaid items - ✔✔Expenses that are prorated that have been prepaid by the seller
and not fully used up- credits the seller
✔✔Abstract of title - ✔✔Condensed history of a title to a particular parcel of real estate
including conveyances and encumbrances
✔✔acceleration clause - ✔✔When enforced it can make the entire debt due
immediately if the borrower defaults on an installment or other covenant
✔✔accession - ✔✔Assuming title with additions or improvements to real property
✔✔accretion - ✔✔The increase or addition of land by deposit of soil or sand washed up
naturally from water
✔✔actual eviction - ✔✔The legal process that results in a tenant being physically
removed
✔✔aderse possession - ✔✔The actual, open, notorious, hostile, and continuous
possession of anthers land under a claim of right; IL=acquire title after 20 years
✔✔affidavit of title - ✔✔A written statement made under oath by a seller or grander of
real property and acknowledged by a notary public
✔✔alienation - ✔✔The act of transferring property to another
✔✔allodial system - ✔✔Land ownership in which land is held free and clear of any rent
or service due to the government
✔✔appropriation - ✔✔The way a taxing body actually authorizes the expenditure of
funds and provides for the sources of the sources
✔✔appurtenance - ✔✔A right, privilege, or improvement belonging to, and passing, with
the land
✔✔appurtenant easement - ✔✔An easement that is annexed to the ownership of one
parcel and allows the owner the use of the neighbors land
✔✔assignment - ✔✔The transfer in writing of interest in a bond, mortgage, lease, or
other instrument
, ✔✔attachment - ✔✔The act of taking a persons property into legal custody by writ or
other judicial order
✔✔automatic extension - ✔✔A clause in a listing agreement stating that the agreement
will continue automatically for a period of time after its expiration
✔✔avulsion - ✔✔The sudden tearing away of land
✔✔balance - ✔✔The appraisal principal stating the greatest value in a property will
occur when the type and size of the improvements are proportional to each other as
well as the land
✔✔basis - ✔✔The financial interest that the IRS attributes to an owner of an investment
property for the purpose of determining annual depreciation and gain or lose on the sale
of the asset
✔✔bequest - ✔✔A gift of personal property under a will
✔✔binder - ✔✔An agreement that may accompany an earnest money deposit as
evidence of the purchasers good faith an intent
✔✔blind ad - ✔✔An advertisement that does not identify sponsoring broker
✔✔boot - ✔✔Money or property given to make up any difference in value when two
properties are exchanged
✔✔brownfield - ✔✔Defunct, derelict, or abandoned commercial or industrial sites; may
have toxic wastes
✔✔Brownfields Legislation - ✔✔Provides federal funding to clean up brownfield sites
✔✔capital gain - ✔✔Profit earned from the sale of an asset
✔✔capitalization - ✔✔Estimating the value of a property using the proper rate of return
on the investment and the annual net operating income expected to be produced
✔✔capitalization rate - ✔✔The rate of return a property will produce on the owners
investment
✔✔cash rent - ✔✔In an agricultural lease, the amount of money given as rent to the
landowner at the outset of the lease, as opposed to sharecropping
✔✔certificate of sale - ✔✔the document given to the purchaser of delinquent property
taxes
