Illinois Real Estate Practice Exam

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Prepare for the Illinois Real Estate Test. Practice with flashcards and multiple choice questions, each question has hints and explanations. Get ready for your exam!

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Which type of real estate taxes are specific, involuntary, statutory liens based on the value of the property being taxed?

Equalization Factor
Forfeiture Sale
General Real Estate Taxes
Tax Sale

The correct answer is: General Real Estate Taxes

The correct answer is general real estate taxes because these taxes are assessed based on the valuation of the property and represent a form of involuntary levy placed by governmental entities to collect revenue for public services. General real estate taxes are determined annually and are calculated using the assessed value of the property, reflecting its market value. These taxes automatically create a lien against the property, meaning the property serves as collateral for the unpaid taxes, which the government can eventually foreclose upon if they remain unpaid. They are called "specific" taxes because they are directly linked to the specific property, as opposed to being levied on a general basis across all properties or based on income. The other options do not fit this definition as closely: the equalization factor is used to adjust property values to ensure uniformity in tax assessments, a forfeiture sale refers to the sale of a property due to unpaid taxes or debts, and a tax sale is the actual process by which properties with unpaid taxes are sold to recover those debts. These processes are related to tax collection but do not directly represent the type of tax that is placed involuntarily on property based on its assessed value.