Illinois Real Estate

Out of State Licensee (OSL) Participation in deals:
Physical Location State

- An out-of-state licensee can share a commission with an Illinois licensee, but cannot perform any of the actions related to the sale within Illinois.
- An out-of-state licensee is generally barred from bringing a commission lawsuit in Illinois.

License Types

Real Estate Broker
Real Estate Managing Broker
Real Estate Leasing Agent

Exam Provider

PSI Exams/AMP

Waivers

Experience Waiver
Education Waiver

QUASI - BIZ BROKER STATE*

Reciprocity

Colorado, Connecticut, Florida, Georgia, Indiana, Iowa, Nebraska, South Dakota, Wisconsin

Note: All listed state licensees must pass the Illinois portion of the licensure examination

Specific to Illinois

TO OBTAIN A RECIPROCAL LICENSE:
a) You must be actively licensed by examination in the state from which you are applying.
b) Illinois must have a written reciprocal agreement with the state in which you are currently licensed by examination.
c) You must take and pass the Illinois portion of the licensure examination.
d) Your sponsor must have an active broker or managing broker license in Illinois. A managing broker can self-sponsor. After 4/30/2012, your sponsor must have a managing broker license.
e) For Managing Broker Applicants only: your broker license must have been in an active status during the immediately preceding two years.

Reverse Reciprocity

These states specifically mention Illinois in their Reciprocity:
Connecticut, Florida, Wisconsin

These States recognize any other State licenses but may have additional requirements:
Alaska, Alabama, Colorado, Georgia, Idaho, Indiana, Kansas, Kentucky, Maine, Nebraska, North Carolina, Rhode Island, South Dakota, Tennesee, Vermont, Washington

Customs

Title companies, lenders, and attorneys may conduct closings, but only attorneys may prepare documents. Lenders generally hire attorneys and have them prepare all the paperwork.
Conveyance is by warranty deed. Recorded deeds must include a declaration of the sales price. Mortgages are the customary security instruments.
Illinois uses ALTA policies.
Buyers usually pay the closing costs and the lender’s title insurance premiums; sellers pay the owner’s title insurance premiums and the state and county transfer taxes.
Property tax payment dates vary.

Links

Reciprocity Page
Dept of Financial and Professional Regulation, Division of Real Estate

*QUASI - BIZ BROKER STATE

While a Business Broker is not required to have a real estate license in this State, they are required to Register in this State as a business broker.

Sec. 10-10. Registration of business brokers. Every person engaging in the business of business brokering shall be registered with the Office of the Secretary of State pursuant to the provisions of this Act. Persons employed, contracted by, or working on behalf of other persons who are registered under this Act need not register separately; provided that such non-registered employed or contracted persons working for a business broker have been identified in the registration submitted and proper fees, if any, are paid.
http://www.ilga.gov/legislation/ilcs/ilcs5.asp?ActID=2325&ChapterID=67