Illinois Real Estate Broker Exam — All Questions
← Back to practice4 questions
For a real estate sales contract to be enforceable, the Statute of Frauds requires that it be:
- a.Notarized by a licensed notary
- b.In writing and signed by the parties✓
- c.Recorded with the county recorder
- d.Reviewed by an attorney
The Statute of Frauds requires contracts for the sale of real estate to be in writing and signed by the party to be charged. Notarization and recording are not required for enforceability between the parties.
A buyer makes a written offer on a home. Before the seller accepts, the buyer notifies the seller that the offer is withdrawn. This is an example of:
- a.Breach of contract
- b.Novation
- c.Acceptance
- d.Revocation of the offer✓
An offer may be revoked by the offeror at any time before it is accepted. Because no acceptance had occurred, no contract was formed and the buyer is free to withdraw.
When a buyer and seller sign a purchase agreement but the sale has not yet closed, the buyer holds what type of interest?
- a.Equitable title✓
- b.Legal title
- c.A leasehold estate
- d.A remainder interest
Once a purchase contract is signed, the buyer acquires equitable title, an interest that entitles them to obtain legal title at closing. Legal title remains with the seller until the deed is delivered.
An option contract in real estate gives the optionee:
- a.An obligation to purchase the property
- b.Immediate legal title to the property
- c.The right, but not the obligation, to buy within a set period✓
- d.A commission on the eventual sale
An option gives the optionee the right, but not the obligation, to purchase the property on agreed terms within a stated time. The optionor is bound to sell if the optionee chooses to exercise the option.