Illinois Leasing Agent Practice Exam

In which of the following scenarios would a real estate license NOT be necessary?

1. A person renting their own house

2. A tenant subletting their apartment

3. A licensed agent managing a rental for another

4. Friends helping each other find tenants

The correct answer is: A person renting their own house

A real estate license is not required in the scenario where a person is renting out their own house. This is because individuals have the right to manage their own property without needing to be licensed. They can enter into leases, handle rental transactions, and collect rents on their own behalf. In contrast, the other scenarios typically involve activities that require a real estate license. For instance, a tenant subletting their apartment might not need a license depending on the lease provisions, but generally, managing rental properties on behalf of someone else—like the licensed agent managing a rental for another—does require a real estate license. Similarly, friends helping each other find tenants could potentially lead to situations that necessitate licensure if there are any compensations involved in their assistance or if they act in a way that resembles brokerage without a license.