IAR gets thousands of calls a year for legal guidance. One hot topic off the association’s Legal Hotline was property management, which, when you do it for another person and for compensation, requires a properly sponsored real estate license.
The question: Must I have a real estate license to engage in property management activities?
The answer: To the extent that those activities are included in the Illinois Real Estate License Act of 2000 (the Act) at Section 1-10 under the definition of “Broker,” and you are doing the activities for another and for compensation, you will be working within the scope of your real estate license.
The list of activities taken from the definition of Broker under the Act is:
(1) . . . rents or leases real estate.
(2) Offers to . . . rent or lease real estate.
(3) Negotiates, offers, attempts or agrees to negotiate the . . . rental or leasing of real estate.
(4) Lists, offers, attempts or agrees to list real estate for . . . lease . . .
(6) Supervises the collection, offer, attempt or agreement to collect rent for the use of real estate.
(7) Advertises or represents himself or herself as being engaged in the business of . . . renting or leasing real estate.
(8) Assists or directs in procuring or referring of leads or prospects, intended to result in the . . . lease or rental of real estate.
(9) Assists or directs in the negotiation of any transaction intended to result in the . . . lease or rental of real estate.
(10) Opens real estate to the public for marketing purposes.
(11) . . . leases or offers for . . . lease real estate at auction.
Read the Legal Hotline Top 5.