Which of the following statements about Illinois real property transfer taxes is FALSE?
Correct Answer
D) Illinois law requires the buyer to pay all transfer taxes in every residential real estate transaction statewide.
B is false. Illinois law does not impose a universal rule requiring buyers to pay all transfer taxes in every transaction. Under the Illinois Real Estate Transfer Tax Act (35 ILCS 200/31-1 et seq.), the state transfer tax is customarily paid by the seller, and local ordinances — such as Chicago's — may allocate portions to buyers and sellers differently. No statewide statute mandates that buyers bear all transfer tax liability in every transaction.
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Related Topics & Key Terms
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Related Concepts
Usury is the practice of charging an interest rate that exceeds the maximum rate permitted by state law. Usury laws protect borrowers from excessive interest charges on loans.
A VA loan is a mortgage guaranteed by the Department of Veterans Affairs available to eligible veterans, active-duty service members, and surviving spouses. It offers no down payment and no private mortgage insurance requirements.
An adjustable-rate mortgage (ARM) has an interest rate that changes periodically based on market conditions, typically after an initial fixed-rate period. The rate adjustment is tied to a financial index plus a margin.
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