Thinking about a real estate career in Illinois? One of the first questions you’ll face is whether to stay on the broker track or work toward becoming a managing broker. While these roles sound similar, they carry very different responsibilities, requirements, and career outcomes. Understanding the distinction between a broker and managing broker can help you make informed decisions about your path in Illinois real estate.
What Is an Illinois Broker?
In Illinois, everyone starts at the broker level. Unlike some states that issue a salesperson license first, Illinois requires you to qualify directly as a broker. That means once you’re licensed, you can represent clients in buying, selling, or leasing real estate—so long as you work under the sponsorship of a managing broker.
To get licensed, you’ll need to complete 75 hours of pre-licensing education, pass the Illinois Broker Exam, and affiliate with a sponsoring managing broker. For a step-by-step breakdown, check AceableAgent’s guide on how to get an Illinois real estate license.
What Is an Illinois Managing Broker?
A managing broker is a broker who has advanced their career by meeting additional experience and education requirements. Managing brokers can:
Open and run their own real estate brokerage.
Supervise and sponsor other brokers.
Take on legal responsibility for all transactions under their office.
To qualify, you must have held an active broker license for at least two of the past three years, complete 45 hours of managing broker pre-licensing education, and pass the Illinois Managing Broker Exam.
If your long-term goal is leadership, independence, or building a team, the managing broker license is the credential that makes it possible.
Key Differences Between Brokers and Managing Brokers
At a glance, here’s what separates the two roles:
Supervision: Brokers work under a managing broker, while managing brokers supervise others.
Independence: Brokers must affiliate with a brokerage, but managing brokers can establish their own firm.
Responsibility: Managing brokers assume compliance oversight, office management, and training duties in addition to client work.
Education: Brokers complete 75 hours of coursework; managing brokers need an additional 45 hours.
Career Progression in Illinois Real Estate
Most real estate professionals in Illinois start as brokers. This stage is about gaining practical experience, building a client base, and learning the business. Many stay at this level long-term and enjoy successful careers.
Others eventually decide they want more control over their schedules, business models, or income potential. Advancing to managing broker status opens the door to running your own brokerage or leading a team of sponsored brokers.
Education and Ongoing Requirements
Licensing is just the start. Illinois brokers must complete 45 hours of post-licensing education for their first renewal, followed by continuing education for subsequent renewals. Managing brokers have their own set of CE requirements as well, tailored to leadership and compliance.
AceableAgent makes it easy to stay compliant with flexible, IDFPR-approved Illinois continuing education and Illinois post-licensing courses.
Common Misconceptions
“Managing brokers always make more money.” Not necessarily. While managing brokers can build larger businesses, income depends on deal flow, management ability, and market conditions.
“You need to be a managing broker to succeed.” Many brokers thrive without ever pursuing the managing broker license. The right choice depends on your career goals.
“The extra coursework is too much.” The 45-hour managing broker course is an investment, but for many, it’s worth it to gain independence and authority.
Why This Distinction Matters
Knowing the difference between a broker and managing broker is more than just a licensing technicality. It shapes the trajectory of your real estate career in Illinois—whether you want to focus solely on clients and transactions or expand into leadership and office management.
If you’re just starting out, your next move is to earn your broker license. Once you gain experience, you’ll have the choice of advancing into a managing broker role if independence and leadership are part of your vision.