2026 Illinois Law Updates

Kate Sax - Chief Strategy and Innovation Officer • January 6, 2026

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Changes Are Here In 2026; What To Know

As of January 1, Illinois Law updates have been passed and signed into effect. Seeing as how there are quite a few and cover a wide array of important changes, expand the options below to read more about each update.

  • Code of Civil Procedure - SB 1563

    Gov. JB Pritzker signed Senate Bill 1563 into law, making it easier to remove squatters who move in and try to occupy someone else’s home.


    SB 1563 amends the Code of Civil Procedure to tackle the growing squatter issue in Illinois by clarifying the process for law enforcement to remove unauthorized occupants from homes. Under current law, squatters are considered tenants, which forces property owners to undergo a lengthy eviction process.


    Introduced by Sen. Lakesia Collins (D-Chicago), this legislation closes a critical loophole by reclassifying squatters as trespassers, ensuring they can no longer exploit legal protections to delay removal from properties they had no right to occupy.

  • Making Tiny Homes for Vets more Affordable - SB 39

    Senate Bill 39 will assist nonprofit organization that build Tiny Homes for Veterans who are homeless or at risk of homelessness by prohibiting local governments from passing local laws mandating that the tiny homes also include EV charging stations. 


    An organization in Lincoln, Illinois began this conversation to help communities better afford to provide tiny homes for homeless veterans. The bill was originally brought forward by Senator Sally Turner from Lincoln.


    The bill has been signed into law which became effective with the Governor’s signature.

  • Public Act 104-0382 - Filing Fraudulent Titles- SB 1523

    Senate Bill 1523 will make it illegal for any person to file a deed that is fraudulent, unlawfully altered, or intended to unlawfully cloud or transfer the title of any real property.


    The bill also requires all counties in Illinois to establish a property fraud alert system. Requires every recorder to establish a fraud referral and review process to review deeds and instruments.


    We have all seen TV commercials warning of this scam. As REALTORS®, you may even know some people who have been victims.

  • Expands IHDA Powers to Assist in Affordable Housing Planning - HB 3616

    The Illinois Housing Development Authority (IHDA) is now required to collect data and make certain calculations based on a number of factors outlined in the legislation. IHDA is to publish the collected data at least once every 5 years.


    Introduced by House Assistant Majority Leader Will Guzzardi (Chicago), HB 3616 also requires IHDA to compile the collected data into a report and submit the report to the General Assembly. Provides that the collected data shall be for informational purposes only and shall not factor into the determination of exempt local governments.

  • Condominium and Common Interest Community Ombudsperson Act

    Condo Ombudsperson Program to Continue. 


    Illinois REALTORS® supported the legislation for extending the Condominium and Common Interest Community Ombudsperson Act, which was set to expire on January 1. 


    The Act and the Program are extended until January 1, 2029.

  • Rooftop Safety for First Responders Act - SB 1742

    Senate Bill 1742 enacts the Rooftop Safety for First Responders Act, which aims to improve rooftop safety—particularly skylights and other openings—for firefighters operating during rooftop emergencies. The legislation was introduced following a fatal firefighter incident in a suburban community.


    REALTORS® opposed a similar proposal in 2024 that would have prohibited skylights on residential properties, raising concerns among stakeholders. This year’s version, introduced by Sen. Mike Porfirio (D-Burbank), was more broadly supported after a key amendment addressed those concerns.


    As introduced, the bill required skylights to meet the International Building Code’s live load standards. Through negotiations, Illinois REALTORS® Governmental Affairs Team offered a compromise, which was adopted.


    The revised language now requires that skylights and similar openings on low-sloped roofs, unless otherwise required by law to remain unobstructed, must either: (A) be glazed with wired glass, plain glass, glass block or polycarbonate plastic designed and constructed to withstand a minimum dynamic load of 400 pounds; or (B) be protected by a parapet, extended masonry, guard or a combination of these, in compliance with applicable safety standards.

  • Inter-jurisdictional Industrial Zoning Impacts Membership - SB 2506

    Task Force on Interjurisdictional Industrial Zoning.


    Senate Bill 2506, establishes membership for the Task Force on Interjurisdictional Industrial Zoning Impacts.


    The legislation was introduced by Sen. Julie Morrison (D, Deerfield) and the Illinois REALTORS® Governmental Affairs Team monitored the bill throughout the Spring Session. This measure had an immediate effective date and became law on Aug. 1, 2025. Both of the laws will be assigned a Public Act number soon.

  • Gender Neutral Provision added to Conveyances Act - HB 1083

    Gender Neutral Provision added to Conveyances Act.


    House Bill 1083, amends several acts within the Illinois statutes to include additional gender-neutral description changes, has been signed into law by Governor Pritzker. It is now Public Act 104-0040 and will take effect on January 1. 


    It impacts the real estate industry in its provision that notwithstanding any other provision of law, the recording of a quitclaim deed is exempt from all recording fees if executed for the sole purpose of reflecting a legal name change, and the grantor and grantee are the same individual or individuals.

  • Property Conservation Rights Expanded - HB 1605

    Property Conservation Rights Expanded

    HB 1605 is now Public Act 104-0049 and will take effect on January 1. 


    It amends the Real Property Conservation Rights Act (passed in 2019) to make provisions for preserving cultural heritage sites by allowing (not mandating) Illinois property owners to convey their land to a federally recognized Indian tribe that is eligible to hold the rights.

  • Climate Displacement Task Force Created SB 1859

    Climate Displacement Task Force Created

    Senate Bill 1859 created a task force, set up membership and established duties for a new Climate Displacement Task Force. 


    Introduced by new Senator Graciela Guzman (D, Chicago), the measure analyzes climate-driven displacement, assesses future needs, and develops policies with community input.

  • No Fees for Filing Modifications to Restrictive Covenants - Hb1575

    No Fees for Filing Modifications to Restrictive Covenants.


    Introduced by Leader Marcus Evans (D, Chicago), House Bill 1575 improves the process of changing discriminatory provision in property documents or altering covenants that are no longer relevant.


    Specifically, County Recorders are no longer allowed to charge a filing fee or a fee for making copies of a restrictive covenant modification to an unlawful restrictive covenant.


    The bill, now Public Act 104-0187, becomes effective on January 1, 2026.

  • Grants for Projects in Economically Distressed Communities - SB 2466

    Grants for Projects in Economically Distressed Communities.


    Senate Bill 2466, introduced by Sen. Omar Aquino (Chicago), provides financial assistance for up to 100% for the acquisition of open space lands and capital development through the Open Space Land Acquisition and Development Act (OSLAD). 


    Said projects must conform with the purposes of OSLAD that focuses on projects in distressed communities.


    It becomes effective on January 1 and now is Public Act 104-0423.

  • Eviction of Minors - HB3566

    Eviction of Minors.


    As introduced, your Illinois REALTORS® opposed House Bill 3566, sponsored by Rep. Dagmara Avelar (D, Naperville) but after numerous negotiations throughout the session and a filed amendment, we were able to take a neutral position.


    The bill amends the Eviction Article of the Code of Civil Procedure to seal an eviction file when a minor has been named. It requires dismissal of a complaint in its entirety against all defendants if the complaint names a defendant who is a minor at the time of filing. It also provides that when a minor was specifically named, the case shall be immediately sealed.


    Nothing in the Act prohibits a party from filing an action against any defendants who otherwise may be properly named.


    Illinois REALTORS® requested the amendment that was adopted and become part of the bill. It removed an automated process for defendants to recover court costs, attorney fees and punitive damages that were filed removed an automated process for defendants to recover court costs, attorney fees and punitive damages.


    The bill becomes law on January 1.

  • Summary of Rights for Safer Homes Act - Public Act 103-1031

    Summary of Rights for Safer Homes Act.


    Illinois Department of Human Rights (IDHR) must prepare a summary sheet to be attached to every residential lease noting IL protections for survivors of domestic and sexual violence. Where they can go for assistance and what their housing rights are.

     

    It becomes effective on January 1  and now is Public Act 103-1031.

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