SPRINGFIELD – A new law sponsored by State Senator Javier Cervantes will expand real estate licensing in Illinois to brokers licensed in another state.

“We are modernizing our real estate practices in Illinois and with this measure we can promote greater diversity in the market to better serve residents,” said Cervantes (D-Chicago). “Allowing more brokers and managers from other states to operate in Illinois would benefit our residents and the businesses wanting to operate in our state.”

The new law, Senate Bill 3740, will require brokers and managing brokers licensed in another state who are applying for licensure in Illinois to follow specific guidelines to obtain licensure.

The legislation will also require applicants who hold an active license in their home state to have practiced in that state for at least two years, be in good standing, pass a test on Illinois-specific real estate brokerage laws and complete a pre-license endorsement course. The law will also expand DEI and fair housing continuing education requirements.

“This law simply reduces the barriers for real estate practices who want to enter into the Illinois market,” Cervantes said. “By giving applicants an opportunity to take and pass a test limited to Illinois law will ultimately give residents more access to licensed real estate businesses in our communities.”

Senate Bill 3740 was signed into law on Friday and takes effect January 1, 2025, except that certain provisions are effective immediately.