Members of the Illinois Senate Democratic Caucus introduced an eight-bill package May 22 that aimes to unlock tools to help meet the demand for homes and apartments and make housing more affordable across the state.
Illinois, like much of the nation, faces a significant housing shortage. As rent skyrockets, State Sen. Steve Stadelman (D-Rockford) is working to make sure rental fees don’t make scarce housing options even less affordable. Senate Bill 329 would protect tenants from being required to engage with a particular agent in order to rent property and would ensure salespeople and brokers don’t charge tenants fees for performing services at the direction of a landlord or property owner.
“Renters shouldn’t have to pay extra just to secure a place to live. This measure will end the unfair practice of landlords passing broker fees onto tenants, making housing more accessible and equitable,” Stadelman said. “This bill promotes fairness and transparency, helping renters and property owners alike navigate housing with confidence."
The Trump administration is rolling back established housing rights, leading State Sen. Graciela Guzmán (D-Chicago) to introduce Senate Bill 330, which would prohibit discrimination on the basis of someone’s real or perceived experience as a survivor of domestic, sexual or gender-based violence during any real estate transaction.
“Illinois must not tolerate any discrimination against survivors,” Guzmán said. “Housing is a right that must be guaranteed to all people. As someone who has lived through domestic violence, I know how hard it is to rebuild when everything has been taken away from you: safety, stability and a sense of home. To be denied housing because of that past is not only unjust, but deeply dehumanizing. Survivors deserve dignity, protection and a real chance to start over. Illinois should recognize this harm for what it is and refuse to allow it.”
Data from the Illinois Economic Policy Institute and Project for Middle Class Renewal at the University of Illinois at Urbana-Champaign shows a lack of housing options in Illinois, a challenge that would require at least 225,000 new units to be built over the next five years to meet the demand. Recognizing the need to accelerate homebuilding, particularly in marginalized communities, State Sen. Mattie Hunter (D-Chicago) is leading legislation that aims to legalize a wider range of housing types in established neighborhoods, helping to lower housing costs, reduce displacement and create more equitable communities throughout the state. Hunter’s Senate Bill 640 would reform exclusionary zoning laws by requiring municipalities to allow middle housing – moderately scaled residential buildings like duplexes, townhouses and cottage clusters – on any lot currently zoned for single-family use.
“Underserved communities across Illinois have been bearing the weight of the housing crisis for years,” Hunter said. “This measure gives us the tools to build more housing in more places – and to do it in a way that is fair, transparent and enforceable.”
To place guardrails on the growing role out-of-state companies and private equity firms play in Illinois’ housing market, State Sen. Rachel Ventura (D-Joliet) is working to increase transparency and discourage speculative purchases of existing housing. Her legislation, Senate Bill 331, would establish a fee on private equity firms purchasing existing residential properties. Revenue generated from the fee would be directed toward grants for public and affordable housing development, helping to rebuild housing supply and reinvest in communities impacted by corporate consolidation of housing.
“As working families struggle to find affordable homes and rising demand continues to drive up prices, we have a responsibility to preserve our existing housing supply for people, not large corporate investors,” Ventura said. “Unchecked investor activity is pricing Illinoisans out of their own neighborhoods, and we need clear guardrails to restore balance.”
Lawmakers are also exploring ways to make sure longtime residents can stay in their homes and communities if their building is put up for sale. State Sen. Mike Simmons (D-Chicago) is championing Senate Bill 332, a measure that would give tenants the right of first refusal when a property is put up for sale, allowing residents to purchase their building before it can be sold to outside investors, including private equity firms. Simmons stressed that right-of-first-refusal policies can help preserve affordable rental housing, support the availability of rental units, and limit the displacement of residents from their community.
“We want to empower residents with the opportunity to buy their home outright when the sale of a building occurs,” said Simmons. “This process would help facilitate resident ownership by preventing outside investors like private equity firms from absorbing properties before tenants have the chance.”
Faith-based organizations often own underutilized property that could be used to expand the supply of affordable housing, but many face challenges to leveraging that property, including limited financing options and regulatory barriers. State Sen. Sara Feigenholtz (D-Chicago) is spearheading a plan to help streamline this process. Senate Bill 635 would empower faith-based organizations with a clear path to develop affordable, mixed-use and multifamily developments on their land by exempting them from strict zoning requirements.
“Homeowners and renters are counting on us to take action to keep their homes and communities affordable,” Feigenholtz said. “Modernizing outdated building codes and giving congregations new tools to preserve housing are significant steps we can take to address the affordable housing crisis people are facing right now.”
State Sen. Ram Villivalam (D-Chicago) introduced Senate Bill 608 in an effort to ensure Illinoisans who receive housing benefits won’t lose their homes. The measure would clearly establish that housing authorities and private owners of subsidized housing in Illinois can’t mandate work requirements or place time limits on residents. According to Housing Action Illinois, more than 200,000 households in Illinois participate in the Section 8 program – most of whom are older adults, families with children and people with disabilities.
“Cost of living is on the rise and now the Trump administration is working to make it harder for residents to access affordable, quality housing options by imposing work requirements and time limits for those participating in federal housing assistance programs,” Villivalam said. “We must stand up for our neighbors and ensure their ability to live and thrive in our neighborhoods, not make them work extra just to sleep somewhere at night.”
A key factor standing in the way of new home construction is red tape. State Sen. Laura Ellman (D-Naperville) is leading a measure to accelerate homebuilding by creating clear, predictable rules across jurisdictions. Senate Bill 643 would create transparent and uniform standards for plan review, permit issuance and inspection deadlines to help Illinois families and builders navigate the homebuilding process with ease.
“Affordable housing is a growing challenge across Illinois, and too many young people, families and seniors are struggling to find homes they can afford. Despite the demand for affordable housing, the market has not adequately responded. Supply and demand is not working and action is needed,” Ellman said. “This bill is about reducing unnecessary delays and helping communities responsibly expand housing opportunities. I want to be clear that this is not about taking away municipal authority but striking the right balance between efficiency and local decision-making.”
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