Illinois Real Estate Exam Practice Question
Standard title insurance would protect a buyer
Correct Answer: A
Rationale: Standard title insurance protects buyers against defects in the title that could affect ownership.
Option A is valid as it covers instances of forgery, such as a seller forging an ex-partner's signature, which would create a significant title defect.
Option B is incorrect because title insurance does not cover liens placed after the sale, such as those from an HOA for previous owners' debts.
Option C is wrong since buyers aware of zoning violations, like a shed violating setback requirements, cannot claim protection, as they accepted the risk knowingly.
Option D is also incorrect; while title insurance may cover certain issues, discovering a tenant after a sight-unseen purchase typically falls outside its protections, as it relates more to the buyer's due diligence.
Unlock All Questions
Subscribe to Premium for full access to all practice questions, detailed rationales, and performance tracking.
Subscribe Now