Key Takeaways

  • Illinois requires sellers to complete the Residential Real Property Disclosure Report
  • The disclosure covers known material defects, environmental hazards, and property conditions
  • Sellers must disclose known issues but are NOT required to conduct inspections
  • Disclosure must be provided to buyers before acceptance of the offer
  • Certain transfers are exempt including foreclosures, probate, and new construction
Last updated: January 2026

Residential Real Property Disclosure

Illinois requires sellers to disclose known property conditions through the Residential Real Property Disclosure Report.

Important: This section covers Illinois-specific content only. For national disclosure concepts, see our Real Estate Salesperson exam prep.

Disclosure Requirements

When Required

Transaction TypeRequired?
1-4 unit residentialYES
Condominium unitsYES
Vacant land (residential)YES
CommercialNO
5+ unit residentialNO

Timing

WhenRequirement
Before acceptanceSeller provides to buyer
With offerOften included
Prior to contractMust be delivered

What Must Be Disclosed

Categories

CategoryExamples
StructuralFoundation, roof, walls
MechanicalHVAC, plumbing, electrical
EnvironmentalRadon, lead paint, asbestos
Water/drainageFlooding, water damage
PestTermites, rodents
LegalZoning, liens, assessments
NeighborhoodNoise, nuisances

Seller's Obligations

What Sellers MUST Do

ObligationDescription
Disclose known defectsMaterial conditions
Complete formAnswer all questions
UpdateIf conditions change
Good faithHonest answers

What Sellers Do NOT Have To Do

Not RequiredNotes
Conduct inspectionsNot required to test
Warrant conditionNot guaranteeing
Predict problemsOnly known issues
Expert knowledgeReasonable knowledge

Exemptions

Exempt Transfers

TypeReason
ForeclosureBank-owned
Probate/estateExecutor sales
Court-orderedDivorce, bankruptcy
New constructionBuilder warranty
First sale by builderNew construction
GovernmentTax sales
Gift/inheritanceNon-arm's length

Buyer's Rights

RightDetails
Receive disclosureBefore contract
Inspect propertyIndependent inspection
RescindIf material misrepresentation
Legal actionFor fraud/misrepresentation

Consequences of Non-Disclosure

ConsequenceDescription
Civil liabilityDamages to buyer
License disciplineIDFPR action
RescissionCancel contract
Fraud chargesCriminal in severe cases
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Illinois Disclosure Process
Test Your Knowledge

When must the seller provide the Residential Real Property Disclosure Report to the buyer?

A
B
C
D
Test Your Knowledge

Which transfer is exempt from the Illinois disclosure requirements?

A
B
C
D