Illinois Leasing Agent Practice Exam

A tenant installs a new light fixture in their apartment. What classification does the light fixture have after installation?

1. Personal property

2. Real property

3. Trade fixtures

4. Common property

The correct answer is: Real property

After a tenant installs a new light fixture in their apartment, the light fixture is classified as real property. This classification is based on the principle that when a tenant makes an improvement to the rental property that becomes permanently affixed to it, that improvement is considered a part of the property itself rather than the tenant's personal property. Once installed, the light fixture is attached to the building and cannot be easily removed without causing damage, thus integrating it into the real estate itself. This classification reflects the legal understanding that fixtures—items that were once personal property but have been attached to real estate—become part of that real estate. In contrast, personal property refers to movable items that do not permanently attach to a structure. Trade fixtures are items a tenant installs during business operations that they intend to remove when leaving. Common property typically refers to areas or items shared among tenants in a multifamily setting, which does not apply here. This concept of real property highlights the legal and practical implications of property rights, ownership, and the responsibilities of both landlords and tenants regarding fixtures and improvements.