Becoming a Licensed Realtor in Illinois | The Path to Success


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Illinois Realtor

In Illinois, becoming a realtor can be an exciting and rewarding career endeavor. A realtor is a licensed professional representing buyers and sellers in real estate transactions. They often work under the supervision of brokers and are responsible for marketing properties, negotiating deals, and managing the transaction process. As a realtor, you can help people find their dream homes, navigate the complexities of the real estate market, and start an LLC in Illinois.

However, before starting your journey to Becoming a Realtor in Illinois, you must complete several steps to obtain your real estate license. This comprehensive guide will walk you through the entire process, so you can confidently begin your new career.

Webinarcare Editorial Team will help you gain knowledge through thorough research and market study. Before becoming a realtor in Illinois, all the steps in this article must guide you.

What is a Realtor?

A realtor is a licensed real estate professional member of the National Association of Realtors (NAR) and adheres to their code of ethics. They may work as individuals, within a real estate brokerage, or as part of a limited liability company (LLC) or a corporation. Their services include representing buyers and sellers in real estate transactions, assisting with property management, and providing guidance on real estate investments, including rental properties.

The requirements to become a realtor in Illinois may vary, but here are the general steps:

  1. Education: Complete the required pre-licensing real estate education courses. In Illinois, this typically involves completing a certain number of hours of approved coursework.
  2. Examination: Pass the Illinois-approved real estate licensing exam. The exam tests your knowledge of real estate laws, practices, and ethics. Study materials and exam preparation courses are available to help you succeed.
  3. Application: Submit a real estate license application to the Illinois Real Estate Commission. This application includes documentation such as proof of education, exam results, background check, and fees.
  4. Background Check: Illinois requires applicants to undergo a criminal background check. This usually involves providing fingerprints and consent for the background investigation.
  5. Join a Brokerage: Agents must work under a licensed real estate broker in Illinois. Find a reputable brokerage that aligns with your career goals and values and provides new agents with the necessary support and mentorship.
  6. Membership: Consider joining the National Association of Realtors (NAR) and local real estate associations. Membership offers valuable resources, networking opportunities, and access to multiple listing services (MLS), simplifying clients’ buying and selling process.

It’s crucial to note that real estate licensing requirements can change, and it is recommended to check with the Illinois Real Estate Commission for the most up-to-date and specific requirements.

Embarking on the journey to become a realtor in Illinois is not simply about selling houses, it’s about building dreams, yours included. Take the leap and start an LLC. With every property you sell, you’re not just making a living; you’re creating a business that can evolve, grow, and create lasting success.

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How to Become a Realtor in Illinois

Suppose you’re considering becoming a realtor and want to form a professional corporation in Illinois. In that case, it’s essential to understand the steps and requirements involved in obtaining your license and starting your professional journey. This step-by-step guide will walk you through the entire process of becoming a realtor, from understanding the requirements to choosing a brokerage.

Step 1: Understand The Requirements

Before becoming a realtor in Illinois, you must understand the requirements to obtain your Illinois real estate license. Illinois has unique requirements, so it’s crucial to familiarize yourself with the specific rules and regulations. In general, to become a realtor in Illinois, you must:

  • Be at least 18 years old.
  • Have a high school diploma or equivalent
  • Complete the required pre-license education
  • Pass the Illinois real estate licensing exam
  • Submit your application and fees to the Illinois real estate commission
  • Complete a background check
  • Obtain Errors & Omissions (E&O) insurance

It’s important to note that Illinois may have additional requirements or prerequisites to become a licensed realtor. Check with the Illinois real estate commission for the most up-to-date information.

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Step 2: Complete Pre-License Education

To become a realtor in Illinois, you must fulfill Illinois pre-license education requirements. Typically, this involves completing a certain number of hours of coursework from an approved real estate school. The curriculum usually covers real estate principles, practices, and laws specific to Illinois.

When choosing a real estate school, ensuring the Illinois real estate commission approves them is important. Many schools offer online and in-person courses, so consider your learning preferences when selecting a program. Additionally, consider the school’s reputation and course pass rates, as this can indicate the quality of their instruction. However, you can still enroll in real estate courses before your licensing exam. Here are the real estate courses and schools in Illinois.

  • Illinois Real Estate Education Foundation, Real Estate Express, and The CE Shop

Step 3: Pass The Real Estate Licensing Exam

After completing the required pre-license education, the next step is to pass the Illinois real estate licensing exam. The exam typically consists of two parts: a national portion that covers general real estate principles and a specific portion that covers Illinois real estate laws and regulations.

To prepare for the exam, consider using study materials and practice exams provided by your pre-license education provider. Additionally, seek out other resources, such as online practice tests and exam prep books, to ensure you’re well-prepared for the test.

On exam day, bring the required identification and any necessary materials. Remember to arrive early to allow for any registration processes, and be prepared to spend several hours at the testing center. Once you’ve completed the exam, you will receive your results. If you pass, you can move on to the next step in the licensing process. If you don’t pass, don’t be discouraged. Illinois allows multiple attempts, so take the time to review the areas where you struggled and retake the exam when ready. The exam fee is $46.

Make sure to pass the first attempt of the licensing exam.

Step 4: Submit Your Application and Fees

After passing the Illinois real estate licensing exam, you must submit your license application and fees to the Illinois real estate commission. The application typically requires you to provide information about your education, exam results, and background check. Be sure to complete the application accurately and thoroughly, as any discrepancies or omissions may delay the processing of your license.

The licensing fee in Illinois costs $150. However, there are additional costs associated with processing your background check. Review the fee schedule for Illinois and ensure you submit the correct amount with your application.

Step 5: Complete a Background Check

You must complete a background check as part of the licensing process in Illinois. This ensures you meet the moral character requirements of the Illinois real estate commission. The background check typically involves submitting your fingerprints and any necessary forms to the appropriate agency for processing.

Review the guidelines for Illinois and follow the instructions to ensure your background check is completed accurately and efficiently.

Step 6: Obtain Errors & Omissions (E&O) Insurance

Obtaining Errors & Omissions (E&O) Insurance is required to obtain your real estate license in Illinois. E&O insurance is a type of professional liability insurance that protects realtors from claims related to mistakes or negligence in their professional services.

If E&O insurance is required in Illinois, research and select a policy that meets the state’s requirements before submitting your license application. Even if it’s not a requirement in Illinois, it’s still a good idea to consider obtaining E&O insurance to protect yourself and your business—the costs of obtaining E&O insurance range from $500 to $2,000 per year.

Step 7: Choose a Brokerage and Start Your Career

Once you’ve obtained your Illinois real estate license, the final step is to choose a brokerage to work under. A brokerage is a real estate firm that employs licensed agents and brokers. As a new realtor, you’ll work under the supervision of a broker who can provide guidance, support, and resources to help you succeed in your new career.

When choosing a brokerage, consider its reputation, commission structure, training and support programs, and company culture. Selecting a brokerage that aligns with your professional goals and provides an environment where you can thrive is essential. You can also find ways to become a realtor by starting a rental property LLC in Illinois.

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Step 8: Pursue NAR membership

Join the National Association of Realtors to become a realtor. Find your local real estate association and confirm the membership criteria, including an application and an annual fee. If you join NAR, you can enroll in continuing education and other professional courses. You can also access market data and services to help you be more efficient as a realtor.

NAR

Average Income of a Realtor in Illinois

The average income for a realtor in Illinois varies depending on experience, location, and market conditions. Still, according to the Bureau of Labor Statistics, the median annual wage for a realtor in Illinois is around $47,000.

FAQs

How do I become a licensed realtor in Illinois?
To become a licensed realtor in Illinois, you must complete 90 hours of pre-licensing education, pass the state exam, and find a sponsoring broker.
Can I take the pre-licensing education online?
Yes, Illinois allows real estate pre-licensing courses to be taken online.
How long does it take to complete the pre-licensing education?
Most pre-licensing courses take around 2-3 months to complete.
Is there a minimum age requirement to become a realtor in Illinois?
Yes, you must be at least 21 years old to become a licensed realtor in Illinois.
How much does it cost to become a licensed realtor in Illinois?
The cost of the pre-licensing education and state exam can vary, but it typically costs around $1,000–$2,000 in total.
Do I need a college degree to become a realtor in Illinois?
No, a college degree is not required to become a realtor in Illinois.
How often do I need to renew my real estate license?
Real estate licenses in Illinois must be renewed every two years.
Can I renew my real estate license online?
Yes, you can renew your license online through the Illinois Department of Financial and Professional Regulation’s website.
How many continuing education hours do I need to complete for license renewal?
Realtors in Illinois must complete 12 hours of continuing education every two years.
Can I complete continuing education courses online?
Yes, Illinois allows real estate continuing education courses to be taken online.
When does my real estate license expire?
Real estate licenses in Illinois expire on April 30 of each odd-numbered year.
Can I transfer my real estate license to Illinois from another state?
Yes, Illinois has reciprocity with certain states, meaning that real estate brokers and salespeople licensed in those states can obtain an Illinois license without having to complete additional education or examination requirements.
What is the minimum passing score for the state real estate exam?
The minimum passing score for the state exam is 75%.
How many times can I retake the state real estate exam if I fail?
You can retake the state exam as many times as needed to pass, but you must wait at least 30 days between exam retakes.
How soon can I start working as a realtor after passing the state exam?
You can start working as a realtor as soon as you find a sponsoring broker.
Are there any criminal convictions that could prevent me from becoming a licensed realtor in Illinois?
Yes, certain criminal convictions could potentially prevent you from becoming a licensed realtor in Illinois.
Can I use a real estate license from Illinois to work in other states?
No, you must obtain a license in each state where you plan to work as a realtor.
How many real estate agents are there in Illinois?
As of September 2021, there are approximately 88,000 real estate licensees in Illinois.
What is the median annual income for a real estate agent in Illinois?
The median annual income for a real estate agent in Illinois is around $55,000.
How many real estate brokerage firms are there in Illinois?
As of September 2021, there are over 4,000 real estate brokerage firms operating in Illinois.
How long does it take to find a sponsoring broker?
The length of time it takes to find a sponsoring broker can vary, but it typically takes around 1-3 months.
Can I work as an independent realtor in Illinois?
No, in Illinois, real estate agents must work as part of a licensed brokerage firm.
Does Illinois require real estate agents to carry errors and omissions insurance?
No, Illinois does not require real estate agents to carry errors and omissions insurance.
Can I get a real estate license if I have a felony conviction?
It depends on the specific details of the conviction. Certain criminal convictions could potentially prevent you from obtaining a real estate license in Illinois.
How much commission do real estate agents earn on average in Illinois?
Real estate agents in Illinois typically earn a commission of around 3% of the sale price of the property.
How many schools offer real estate pre-licensing education in Illinois?
There are many schools in Illinois that offer real estate pre-licensing education, including community colleges, technical schools, and online programs.
Can I work part-time as a real estate agent in Illinois?
Yes, real estate agents in Illinois can work part-time.
How can I find real estate jobs in Illinois?
You can find real estate job opportunities in Illinois by searching online job boards, classified ads, and by networking with other real estate professionals.
Is there a background check for real estate licenses in Illinois?
Yes, as part of the application process to become a licensed realtor in Illinois, a criminal background check will be conducted.
How do I become a realtor in Illinois?
To become a realtor in Illinois, you need to meet education requirements, pass an exam, and join an organization like the Illinois Realtors.
What education do I need to become a realtor in Illinois?
In Illinois, you need to complete 75 hours of pre-license education and 30 hours of post-license education to become a realtor.
How do I find approved real estate schools in Illinois?
Check the Illinois Department of Financial and Professional Regulation’s website for a list of approved schools.
How much does it cost to become a realtor in Illinois?
The cost of education and licensing fees can total around $1,500 in Illinois.
What are the requirements to pass the Illinois real estate licensing exam?
The Illinois licensing exam consists of 140 multiple-choice questions, and a passing score is 75%.
Where can I take the Illinois real estate licensing exam?
You can take the Illinois real estate licensing exam at one of five testing centers throughout the state.
How do I study for the Illinois real estate licensing exam?
There are numerous study materials available, including textbooks, online courses, and exam prep programs.
How long does it take to become a licensed realtor in Illinois?
It can take a few months to complete the education and exam requirements and apply for a license.
Do I need to take a continuing education course to maintain my license in Illinois?
Yes, Illinois requires realtors to complete 30 hours of continuing education every two years.
How do I find a sponsoring broker in Illinois?
Check job websites or contact prominent real estate brokerages to inquire about sponsorship opportunities.
Can I become a realtor in Illinois if I have a criminal record?
It depends on the severity and nature of the crime. Certain offenses can disqualify you from obtaining a license.
What should I know about the Illinois real estate market before becoming a realtor?
Familiarize yourself with current market trends and conditions, including housing prices and buyer and seller preferences.
What is the job outlook for realtors in Illinois?
The Bureau of Labor Statistics projects that employment for real estate agents in Illinois will grow by 8% through 2026.
How much can I earn as a realtor in Illinois?
According to the Bureau of Labor Statistics, the median salary for real estate agents in Illinois is $53,880 per year.
How many realtors are there currently in Illinois?
As of 2021, there are over 49,000 licensed real estate agents in Illinois.
What is the Illinois Realtors association?
Illinois Realtors is a professional organization that assists real estate agents in Illinois with education, networking, and advocacy.
How do I join the Illinois Realtors association?
You can join Illinois Realtors by contacting their office and completing an application.
Does Illinois require realtors to have errors and omissions insurance?
No, Illinois does not require realtors to have errors and omissions insurance, but it is recommended by the Illinois Realtors.
What is a buyer’s representative in Illinois?
A buyer’s representative is a real estate agent who represents the interests of buyers during the home buying process.
What is a seller’s representative in Illinois?
A seller’s representative is a real estate agent who represents the interests of sellers during the home selling process.
What is a dual agency in Illinois real estate?
A dual agency occurs when a real estate agent represents both the buyer and the seller in a real estate transaction.
Are there any initiatives to protect homebuyers in Illinois?
Yes, Illinois has adopted the Residential Real Property Disclosure Act and the Real Estate License Act to protect home buyers.
What should I know about the Residential Real Property Disclosure Act?
This act requires home sellers in Illinois to provide prospective buyers with a disclosure statement regarding the property’s condition.
What is contained in the Real Estate License Act in Illinois?
The Real Estate License Act in Illinois regulates real estate licensing and outlines various standards of representation.
How can I find clients as a new realtor in Illinois?
Networking, building a strong online presence, and advertising your services can help you find clients as a new realtor.
What resources are available to realtors through the National Association of Realtors?
The National Association of Realtors offers various educational resources, networking events, and advocacy efforts.
What is the process for renewing my real estate license in Illinois?
Realtors in Illinois must submit renewals every two years and complete the continuing education requirement.
Can real estate agents in Illinois also work in another field simultaneously?
Yes, there are no restrictions mandating that realtors in Illinois cannot work in other fields simultaneously.

Also Read

How to Save Money While Starting a Becoming Realtor in Illinois

First and foremost, when starting out as a realtor, it’s essential to keep your overhead costs low. This means being mindful of unnecessary expenses and making thrifty choices wherever possible. For instance, consider renting a shared office space or working from home initially rather than investing in a pricey office lease. By starting small and gradually scaling up as your business grows, you can save a significant amount of money in the early stages of your career.

Additionally, it’s important to budget effectively and keep track of your expenses. Set a strict budget for your business and personal expenses, and stick to it religiously. This includes monitoring your spending, cutting back on non-essential items, and finding creative ways to reduce costs. By being vigilant about your budget and actively seeking out money-saving opportunities, you can ensure that every dollar counts as you build your real estate career.

Another key strategy to save money as a new realtor is to take advantage of free or low-cost resources. There are numerous tools and resources available to real estate agents, such as CRM software, marketing materials, and online platforms, that can help you streamline your business operations without breaking the bank. Look for cost-effective solutions and leverage free resources whenever possible to minimize your expenses and maximize your savings.

Furthermore, networking and building relationships with other professionals in the industry can also be a valuable cost-saving strategy. By fostering strong connections with lenders, inspectors, contractors, and other real estate professionals, you can often benefit from discounts, referrals, and collaborative opportunities that can help you save money on various aspects of your business. Additionally, joining local real estate associations and networking groups can provide you with access to valuable resources and insights that can help you navigate the industry more efficiently.

Lastly, don’t underestimate the power of continuous learning and professional development. Investing in your education and skill development can ultimately save you money in the long run by making you a more competent and knowledgeable real estate professional. Consider taking continuing education courses, attending workshops and seminars, and staying informed about the latest trends and best practices in the industry. By sharpening your skills and staying ahead of the curve, you can enhance your marketability, boost your earning potential, and ultimately save money by positioning yourself as a top-tier realtor in Illinois.

In conclusion, saving money while starting your journey as a realtor in Illinois requires careful planning, discipline, and strategic decision-making. By keeping your overhead costs low, budgeting effectively, leveraging free resources, networking with industry professionals, and investing in your professional development, you can set yourself up for long-term success while maximizing your savings. Remember, every penny saved is a penny earned – and in the competitive world of real estate, every dollar counts.

Conclusion

Becoming a realtor in Illinois is a rewarding career choice that offers flexibility, the potential for financial success, and the opportunity to help people navigate the complex world of real estate. Following the steps outlined in this guide and dedicating yourself to learning and growth, you can embark on a successful and fulfilling career as a realtor in Illinois.

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