Realtor Fees in Illinois | Updated for 2022

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  Written by Jamie Ayers

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  Edited by Jessica Johansen

What’s a fair realtor fee in Illinois? | How much does commission cost? | Who pays realtor fees? | Tips to save on Illinois realtor fees | FAQs

Realtor fees in Illinois cost an average of 5.24%, which equates to a total commission fee of $12,369 for a typical home in the state. This includes the fees for both the seller’s agent and buyer’s agent, with each realtor earning around half the total commission amount.¹Estimated realtor fees based on the average Illinois home value and commission rate

In this article, you’ll learn what factors affect realtor fees in Illinois and who typically pays them. This information can help you budget for your home sale and avoid overpaying on commission.

But if you’re like many Illinois home sellers, you might think 5.24% is too much to pay a realtor. Luckily, there are lots of ways to save on realtor fees in Illinois. 

The best option for most people is to find a realtor through a free service like Clever Real Estate. Clever negotiates 1.5% listing fees with top local realtors at trusted brands like Keller Williams and RE/MAX. You’ll get guaranteed full service, but pay a fraction of what real estate agents typically charge.

💰 SAVE: Find a top local agent and get a 1.5% listing fee!

What is a fair realtor commission in Illinois?

A fair realtor commission in Illinois is whatever rate a typical seller with a home like yours would expect to pay in your local market. But what’s most important is that you and your agent agree on a rate you’re both comfortable with.

Most Illinois realtors expect a total commission rate of around the statewide average of 5.24%. But you may be able to persuade your agent that a lower fee is fair if:

• Your home value is above the area average
• Bidding wars are common in your market
• Your home is in great condition
• Properties like yours are selling quickly
• You’re also buying a house with the same agent

If you’re looking to save on realtor fees, it’s also possible to find Illinois real estate agents with low commission rates. The top discount brands offer reduced listing fees (as low as 1.5% in Illinois!), but still provide all the expertise and hands-on service you’d expect from an experienced local agent.

How much do realtor fees in Illinois cost?

The average Illinois realtor commission rate is 5.24%, with 2.68% going to the listing agent and the remaining 2.56% going to the buyer’s agent.

Illinois realtor fees usually don’t vary too much from agent to agent — the majority of agents charge rates close to the area average. Our data found that most Illinois sellers end up paying between 4.42%–6.05% in total real estate commission fees.

The table below shows an example of how realtor commission costs would affect a seller’s net profit on an average home in Illinois:

While the seller usually pays the realtor fees in Illinois, these fees are only paid once the house sells. Instead of sellers having to cover realtor fees upfront, the fees come out of the sale proceeds. The seller just needs to make sure their listing price is high enough to cover the realtor fees and other closing costs.

What factors affect realtor fees in Illinois?

Average realtor fees in Illinois are affected by conditions in the local housing market. Key factors include home price trends, the number of active real estate listings, and how quickly houses are selling.

Home price trends

^{Source: Zillow. Last updated: March 2023.}

Home price trends in your local market can indicate whether the average commission rate in your area will be the same as the Illinois average. To get an idea of what realtor fees to expect, find out the median home value in your market and how it compares to the state average, which is currently $267,383 in Illinois.

Markets with high home prices tend to see lower realtor fees. On the other hand, markets with low home prices tend to see higher realtor fees.

This trend happens because realtors can often make just as much or even more money charging a low rate on an expensive home as they can charging a high rate on a cheaper home. They’re incentivized to offer a better rate for a higher-priced home in order to get the listing.

When considering home price trends, think about how your house stacks up against the market average. For example, even if you live in a market where home prices are dropping and realtors are charging higher rates, your house may buck the trend by having features that make it particularly attractive to buyers. In this case, realtors may be open to negotiating their rates with you.

How many homes are for sale

^{Source: Realtor.com. Last updated: February 2023.}

Realtor fees also go up or down depending on how many homes are for sale at a given time. When relatively few homes are for sale, realtor fees tend to go down. But when a surplus of homes are on the market, realtor fees are more likely to go up.

When realtors have to compete for fewer listings, they’re incentivized to lower their fees in order to get new clients. When more active listings are available, realtors can get clients more easily and don’t need to offer discounts.

Active listings in Illinois are up 4.5% since last year. Nationwide, inventory is up 67.8%.

How quickly homes are selling

^{*12-month rolling average. Source: Realtor.com. Last updated: February 2023.}

How quickly homes are selling is another indicator of whether realtor fees will increase or decrease. When homes are selling quickly, realtors tend to offer lower rates because each sale — and each paycheck — is faster and easier.

But when homes are taking longer to sell, realtors have to work harder to sell each listing. In this scenario, they are more likely to keep their fees the same or even increase them.

Across Illinois, homes sell in an average of 44 days, but selling times can vary between markets. For example, the average selling timeline in Quincy is 29 days, but homes in Macomb average 118 days on the market.

Take average selling times with a grain of salt. Some houses sell quickly in slow markets or slowly in hot markets. For example, while sales in your area may be slow, your particular neighborhood may be highly desirable, which could mean your house will sell faster than the market average.

How are realtor fees split in Illinois?

Realtor fees in Illinois are typically split down the middle between the two real estate agents involved in the transaction — often 50/50. On average, the seller’s agent earns 2.68% of the home price and the buyer’s agent earns 2.56%, for a total commission of 5.24%.

While realtor commission is often split 50/50 between the two realtors, this isn’t always the case. Ultimately it’s up to the seller to decide how much commission to pay each realtor, although the seller needs to offer a rate competitive enough that realtors will want to work with them.

As the seller, consider a few things when offering realtor commission rates. First, remember that the buyer’s agent commission you set is essentially a marketing tool. The buyer’s agent commission acts as an incentive to get more agents to show your house to potential buyers. So you want to offer a commission rate competitive enough to generate more buyer interest for your property.

Second, realtors share a portion of their commission with their brokerage. While the brokerage split varies from agent to agent, a 50/50 split is common. So whatever rate you’re offering a realtor, a good rule of thumb is to assume they’ll be taking home only half of it.

The table below breaks down an example of a typical Illinois realtor commission split.

Who pays realtor commission in Illinois?

The seller typically pays the realtor commission in Illinois for both the listing agent and the buyer’s agent, but they don’t pay the realtor commission upfront. Instead, commission comes out of the sale proceeds, so the seller doesn’t need to worry about paying it if the house doesn’t sell.

Sellers typically cover the buyer’s agent commission because it’s considered a marketing cost. By having control over how much buyer’s agents get paid, sellers can incentivize those agents to show the property to more of their clients. More buyer interest often leads to better offers on the house.

Also, because most buyers can’t afford to pay for a buyer’s agent out of pocket, it makes sense to have the buyer’s agent commission come out of the sale proceeds instead. This ensures that more buyers are able to enter the market, creating a larger pool of potential buyers for sellers.

How to save on realtor fees in Illinois

If you’re selling a house in Illinois and want to save on realtor fees, you have a few different options. Most sellers get the lowest rates (and best experience) by working with a full service realtor who charges lower rates, but you could also try to negotiate a lower realtor fee on your own or sell your house by owner.

Find an agent who charges lower rates

Most Illinois home sellers who want to save on realtor fees should work with a local real estate agent who offers full service for a lower rate.

Our top pick is Clever Real Estate, a free service that matches sellers like you with top local agents — and negotiates lower realtor fees on your behalf. (See our full low commission real estate agent rankings for more local options.)

Clever is the best choice for most people because it negotiates 1.5% listing fees with experienced agents from trusted brands like Keller Williams, RE/MAX, and Berkshire Hathaway. You’ll get 100% full service from your agent (guaranteed), but pay a fraction of the 2.68% listing fee that most Illinois agents charge.

Negotiate a lower realtor fee on your own

As a Illinois home seller, you can always try to negotiate realtor commission rates yourself — you don’t have to just accept whatever listing an agent quotes you.

If you’re trying to negotiate commission rates with a realtor, find out how you can make your house easier to sell. If a realtor is open to negotiating with you, they may suggest you undertake renovation projects or other improvements that will ultimately make your house more attractive and their job easier.

But keep in mind that many realtors won’t lower their fees. If they do, the reduction is unlikely to be more than 0.25%–0.5%. Your best chance of saving money on realtor fees is to work with a realtor or brokerage that charges the same low rate to every client.

Sell without a realtor

Selling your home for sale by owner (FSBO) in Illinois lets you avoid paying the listing agent’s fee, effectively halving the cost of commission compared to working with a traditional agent. Most FSBO sellers still end up paying a conventional buyer’s agent fee, around 2.56% on the average Illinois home sale.

While the potential savings from avoiding listing fees look great, there are many risks you’ll encounter when you try to sell your house without a realtor.

FSBO sellers take on a lot more work than regular home sellers. You’ll have to attract buyers, negotiate offers, pay extra fees to list your home on the MLS, and navigate legal paperwork. You’ll also miss out on the local market expertise that top real estate agents provide, which is critical when trying to price your home strategically to get the highest sale price possible.

In fact, research shows that FSBO homes sell for 5.5% less on average than similar properties listed with an agent. So while you may save 3% by cutting out the listing agent’s fee, you could lose more than that if your home sells for less than its full market value.

» MORE: How to sell your house without a realtor in Illinois

FAQs about realtor fees in Illinois

Methodology

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