FreeRealEstateExamPrep
Updated October 2026

Illinois Real Estate Practice Exam

A free practice test for the Illinois salesperson exam, for the weeks before your test date, with an explanation on every answer. Score yourself against Illinois's real 75% pass line before you book.

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Agency

An Illinois sponsoring broker names Maria as the designated agent for a new seller client. By when must Maria advise the seller in writing that a designated agency relationship exists and name the designated agent?

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This practice exam is a study aid, not the real exam. Our questions are written by us to match the published content outline. They are not actual exam questions, no score here predicts a pass, and this site is not affiliated with, endorsed by, or sponsored by PSI, Pearson VUE, ARELLO, any state real estate commission, or any government agency. Your state commission and your candidate handbook are the only authoritative sources.

Illinois real estate exam at a glance

Illinois real estate salesperson exam at a glance
National questions100 scoredsource
State-law questions40 scoredsource
Passing score75%source
Time limit4 hourssource
Exam fee$58.00 per attemptsource
Test providerPSIsource
Pre-licence education75 hourssource

Figures verified against official sources on . Exam fees and rules change. Check the linked source before you book.

10 sample questions, with answers explained

Every question above with its correct answer and the reasoning behind it. Read the explanations for the ones you answered correctly too. A lucky guess and knowing the rule look identical on a score report. These are sample questions from our larger bank.

  1. 1. An Illinois sponsoring broker names Maria as the designated agent for a new seller client. By when must Maria advise the seller in writing that a designated agency relationship exists and name the designated agent?

    • ABefore the first showing of the property
    • BBefore the seller signs a purchase contract
    • CWithin 24 hours after the listing enters the MLS
    • DNo later than beginning to work as the seller's designated agentcorrect

    Why: Under 225 ILCS 454/15-35(a), a designated agent must advise the consumer in writing, no later than beginning to work as a designated agent on the consumer's behalf, that a designated agency relationship exists and give the name or names of the designated agents. Waiting for a showing, a contract or an MLS entry is too late.

    Agency

  2. 2. An Illinois sponsoring broker hires an unlicensed assistant. Which arrangement complies with 68 Ill. Adm. Code 1450.740?

    • AHaving the assistant host weekend open houses alone
    • BLetting the assistant negotiate commission splits
    • CPaying the assistant an hourly wage for clerical workcorrect
    • DPaying the assistant $200 for each closed transaction

    Why: Under 68 Ill. Adm. Code 1450.740, licensees may use unlicensed assistants for administrative, clerical or personal activities that need no license, and compensation for unlicensed assistants cannot be transaction based. Unlicensed assistants may not host open houses, show property, interpret documents or negotiate commissions, so a per-closing payment and the other two tasks all fail.

    Practice of real estate

  3. 3. Before closing, an Illinois seller learns that a delivered disclosure omitted a known material problem. What must follow?

    • ASilently replace the seller's private copy
    • BWait until the buyer's warranty expires
    • CAsk the broker to erase the original report
    • DA written supplemental disclosure to the buyercorrect

    Why: Under 765 ILCS 77/30, a seller who learns before closing of an error, inaccuracy or omission in a delivered disclosure report must give the buyer a written supplemental disclosure.

    Property disclosures

  4. 4. Which of these Illinois sellers is exempt from delivering the residential real property disclosure report?

    • AAn owner selling the 3-unit building she lives in
    • BA builder selling a new house that has never been occupiedcorrect
    • CAn investor who rehabilitated an older house for resale
    • DA condominium owner selling through a listing broker

    Why: Under 765 ILCS 77/15(9), a seller of newly constructed residential real property that has never been occupied is exempt from the Act. Rehabilitating existing property does not qualify for that exemption, and the Act covers 1 to 4 unit buildings and condominium units, so the other sellers must deliver the report.

    Property disclosures

  5. 5. An Illinois listing broker knows that a former occupant of the home had HIV and that the home was the site of an event years ago that had no effect on its physical condition. Under 225 ILCS 454/15-20, what liability does the broker face for not disclosing these facts?

    • AThe broker must disclose both facts in writing before any offer is made
    • BThe broker must disclose the event but not the medical condition
    • CThe broker is liable if a buyer later learns of either fact
    • DNo cause of action arises against the broker for not disclosing themcorrect

    Why: Under 225 ILCS 454/15-20, no cause of action arises against a licensee for failing to disclose that an occupant had HIV or any other medical condition, or that the property was the site of an act or occurrence that had no effect on its physical condition. These stigmatizing facts are treated differently from latent physical defects, which must be disclosed.

    Agency

  6. 6. An Illinois team wants to market itself under a name that uses the word "Realty." Which name is permitted under 68 Ill. Adm. Code 1450.715?

    • ALakeside Realty Company
    • BLakeside Realty Associates
    • CLakeside Realty
    • DLakeside Realty Teamcorrect

    Why: Under 225 ILCS 454/10-30(a), team names may not contain inherently misleading terms such as "realty," "company," "associates" or "properties." 68 Ill. Adm. Code 1450.715(a)(2) treats such a term as deceptive advertising unless it is followed by the word "team." Adding "Company" or "Associates" stacks a second misleading term instead of curing the first.

    Practice of real estate

  7. 7. An Illinois broker prepares a written comparative market analysis for a seller. Which statement must the CMA include?

    • AThat it is not an appraisal of market valuecorrect
    • BThat it was prepared under USPAP standards
    • CThat it is valid for only 90 days
    • DThat a lender may rely on it to set loan value

    Why: Under 225 ILCS 454/10-45, a broker price opinion or comparative market analysis must be in writing and must state that it is not an appraisal of the market value of the real estate and that it was prepared by a licensee not acting as a State certified appraiser. Claiming USPAP status or lender reliance misstates what a CMA is.

    Valuation

  8. 8. A seller pays part of an Illinois buyer's agent's compensation. Does payment alone determine agency?

    • AYes; every payor automatically becomes a client
    • BYes; the highest payor is always the only client
    • COnly if payment is made by check
    • DNo; payment or a promise of compensation does not determine agencycorrect

    Why: Under 225 ILCS 454/15-40, the payment or promise of compensation does not determine whether an agency relationship exists in Illinois.

    Agency

  9. 9. A tenant in an Illinois apartment complex is paid by the owner for referring prospective tenants to units in the same complex. The tenant never shows units or discusses lease terms. Under 225 ILCS 454/5-20, which limit keeps the tenant exempt from licensing?

    • AUnpaid referrals only, since any payment requires a license
    • BUp to 3 referrals in 12 months, paid the lesser of $5,000 or 2 months' rentcorrect
    • CUp to 5 referrals a year, paid no more than $1,000 each
    • DAny number of referrals if each payment is under $500

    Why: Under 225 ILCS 454/5-20(10), a resident lessee may refer prospective lessees in the same building or complex without a license only if referring no more than 3 in any 12-month period, receiving no more than $5,000 or the equivalent of 2 months' rent, whichever is less, and not showing units or negotiating. Paid referrals are allowed within those limits, so a total ban is wrong.

    Practice of real estate

  10. 10. An Illinois licensee changes an email address and phone number. Within what period must the Department be informed?

    • A12 hours
    • B24 hourscorrect
    • C48 hours
    • D72 hours

    Why: Under 225 ILCS 454/5-41, an Illinois applicant or licensee must inform the Department of any change of address, email address, telephone number or office location within 24 hours after the change.

    Practice of real estate