Illinois Limited Service Brokerage
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Limits choice of brokerage services |
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Allows brokers to offer rebates to consumers |
Illinois’s minimum service provision requires real estate brokers entering into exclusive brokerage agreements to accept and present offers and counteroffers and answer their clients’ questions in every real estate transaction.
In 2008, a bill prohibiting broker rebates was introduced into the General Assembly. The Department of Justice wrote a letter on February 21, 2008 opposing the bill. The bill was not voted out of committee.
In 2009, a bill was introduced in the General Assembly that would extend the life of the minimum services statute until 2020. On March 9, 2009, the Department of Justice wrote a letter opposing renewal of this provision of the Illinois Real Estate Licensing Act. The legislature passed the bill in October 2009.
Related documents on the Internet:
- Illinois Real Estate License Act of 2000
- Letter to Illinois General Assembly Re: Effects of House Bill 4313 (prohibiting broker rebates) on competition
- Letter to Illinois Senate on Proposed Amendment to Illinois Real Estate License Act of 2000
Issues for the Illinois listing brokers
The legal issues surrounding the limited-services debate vary throughout the country because of the differences in licensing laws and agency statutes. However, brokers participating in a limited–service model need to be certain they comply with all statutory requirements of a listing broker for their state. In illinois, all listing brokers are required to disclose to the buyer any latent material defects in the physical condition of the property of which they’re aware. Federal lead-based paint disclosure requirements mandate that an agent must inform sellers of their obligation to disclose the presence of lead-based paint hazards in housing covered by the act. These requirements must be met even if there’s a limited–service listing agreement.
Illionois Coverage Areas:
Adams Alexander Bond Boone Brown Bureau Calhoun Carroll Cass Champaign Christian Clark Clay Clinton Coles Cook Crawford Cumberland De Kalb Dewitt Douglas Du Page Edgar Edwards Effingham Fayette Ford Franklin Fulton Gallatin Greene Grundy Hamilton Hancock Hardin Henderson Henry Iroquois Jackson Jasper Jefferson Jersey Jo Daviess Johnson Kane Kankakee Kendall Knox La Salle Lake Lawrence Lee Livingston Logan Macon Macoupin Madison Marion Marshall Mason Massac Mcdonough Mchenry Mclean Menard Mercer Monroe Montgomery Morgan Moultrie Ogle Peoria Perry Piatt Pike Pope Pulaski Putnam Randolph Richland Rock Island Rockford Saint Clair Saline Sangamon Schuyler Scott Shelby Stark Stephenson Tazewell Union Vermilion Wabash Warren Washington Wayne White Whiteside Will Williamson Winnebago Woodford
