Navigate Transfer Taxes, Attorney Closings & Mine Subsidence
Master Illinois' complex transfer tax system, mandatory attorney closings, mine subsidence zones, tile drainage, flood plains, and agricultural assessment—from Chicago exurbs to downstate farm country.
From Chicago's $500K/acre exurbs to Southern Illinois' $3K/acre coal country—150x price variation!
Chicago Metro
Highest transfer taxes (1.05-1.25%), explosive exurban growth
Corn Belt
Prime farmland, agricultural assessment, tile drainage critical
Mississippi River
Flood zones common, bottomland agriculture, lower demand
Coal Country
Mine subsidence zones, severed coal rights, lowest prices
State + County + Municipal = Up to 1.25% in Chicago (vs. 0% in Idaho!)
$0.50 per $500 of value
Applies to ALL Illinois property sales statewide
Varies by county
City-dependent
Chicago has the HIGHEST transfer tax in Illinois—over 10x the downstate rate!
💡 Idaho charges $0 transfer tax. Illinois Chicago area charges up to $12,500 on $1M sale!
Illinois law mandates real estate attorney for closing—cannot use title company alone
815 ILCS 205/2 requires attorney handle closing (unlike Western title-only states)
Attorney fees $800-$2,000 (seller) + $800-$2,000 (buyer) = $1,600-$4,000 total legal costs
Title search, document prep, title opinion, escrow coordination, deed recording
765 ILCS 95 requires disclosure in 37 Southern Illinois counties with underground coal mines
Ground sinking or collapsing over abandoned underground coal mines. Causes foundation cracks, well damage, building collapse.
37 Southern Illinois counties: Franklin, Williamson, Jefferson, Marion, Saline, Gallatin, and more.
Properties in high-risk zones sell for 20-40% less than comparable unmined land.
Illinois Mine Subsidence Insurance Fund (IMSIF) coverage required by many lenders—$300-$1,000/year premiums.
We specialize in Southern Illinois coal country properties. We understand mine subsidence risks and buy properties in subsidence zones as-is.
The Illinois Department of Natural Resources (IDNR) maintains a database of known mine subsidence areas. Sellers MUST disclose if property is in these zones under 765 ILCS 95.
Don't know if your Southern Illinois property is in a subsidence zone? We research it for free when you request a cash offer.
From tile drainage disputes to property tax burden—we handle it all
Chicago area transfer taxes can reach 1.05-1.25% of sale price (vs. 0.10% downstate) - up to $12,500 on $1M sale.
We handle all transfer tax payments and fees when you sell to us. No surprise costs.
Illinois law requires real estate attorney for closing (cannot use title company alone) - $800-$2,000 in additional fees.
Our in-house legal team manages the entire closing process. You don't pay attorney fees.
Southern Illinois properties in mine subsidence areas scare buyers, require special insurance, reduce value 20-40%.
We specialize in Southern Illinois coal country properties. We buy subsidence land as-is.
Subsurface tile systems cross property lines causing maintenance disputes. Replacement costs $600-$1,200/acre.
We buy farmland with tile drainage issues. No need to resolve easement disputes before sale.
Mississippi/Illinois River bottomlands require expensive flood insurance ($400-$2,000/year), reduces buyer demand.
We purchase flood zone properties. FEMA designation doesn't affect our cash offers.
Heavy Illinois clay soil fails septic percolation tests. Alternative systems cost $15K-$30K (vs. $5K-$10K standard).
Sell as-is. We don't require perc tests or septic system installations before purchase.
Illinois has 2nd highest property taxes in nation (2.08% avg). High taxes reduce buyer offers significantly.
We factor in all property tax considerations. Our offers account for the full carrying cost.
Converting ag land to non-ag use triggers 3-year recapture tax - buyer owes $20K-$50K+ differential.
We handle recapture tax obligations. Sell your ag-assessed land without buyer pushback.
Follow these mile markers from start to successful closing
Hire Illinois real estate attorney (required), verify what disclosures needed
Check for mine subsidence (IDNR database), order title search
Research transfer tax rates (state + county + municipal)
Determine if agricultural assessment applies (recapture tax issue)
Investigate tile drainage, flood zones, septic system requirements
Price property based on region, ag assessment, subsidence, etc.
Market to appropriate buyers (farmers, developers, investors)
Negotiate offers, understand transfer tax allocation
Buyer perc test, mine inspection, flood cert, title review
Attorney prepares closing documents, coordinates title insurance
Closing day - sign deed, pay transfer taxes, record with county
Subsurface tile networks drain excess water—but create maintenance disputes
Network of perforated pipes buried 3-5 feet deep to drain excess water from heavy Illinois clay soils. Much of the tile was installed 1900-1970 and is now failing.
Tiles often cross property lines. When they fail, ownership and maintenance disputes arise. Who pays for repairs? Replacement costs $600-$1,200/acre.
Poorly drained land = reduced crop yields = lower land value. Farmers fear buying land with unresolved tile drainage issues.
Failed tile can revert land to wetland status, triggering federal Clean Water Act protections and restrictions.
We purchase farmland with tile drainage issues, easement disputes, and failing systems. You don't need to resolve tile conflicts before sale.
Farmland taxed at ag value (80-90% savings) — but buyer may owe 3-year recapture when converting
Actively farmed land is assessed at agricultural value (NOT market value) under Illinois Property Tax Code. Reduces property taxes 80-90%.
Land must be actively farmed for agricultural production (crops, livestock, forestry).
When ag land sells for non-agricultural use (subdivision, development, building site), buyer must pay the difference between ag tax and market tax for the previous 3 years.
Buyer is legally responsible for recapture tax, BUT will reduce their offer accordingly. Net effect: seller receives less.
When you sell your ag-assessed land to us, we absorb the recapture tax obligation. You get a clean, fair offer without buyers reducing their price due to recapture concerns.
Buyer discovers $27K recapture tax during due diligence → Buyer reduces offer by $27K → You net less
We know about recapture upfront → Our cash offer factors it in → Clean, fair price with no buyer reduction surprises
2.08% effective rate — only New Jersey is higher
High property taxes significantly reduce what buyers will pay. They calculate ongoing annual costs and adjust their offers accordingly.
We factor property tax burden into our cash offers so you get a fair price upfront. No buyer-reduction surprises during due diligence.
Two paths forward: Master the complexity or skip straight to a cash offer
Legal Disclaimer: This guide provides general information about selling land by owner in Illinois and is not a substitute for professional legal, tax, or real estate advice. Illinois real estate law is complex and varies by county and municipality. Transfer tax rates (state + county + municipal) can reach 1.25% in Chicago. Illinois law requires a licensed real estate attorney handle closings (815 ILCS 205/2). The Mine Subsidence Disclosure Act (765 ILCS 95) mandates disclosure in 37 Southern Illinois counties. Residential Real Property Disclosure Act (765 ILCS 77) has exemptions for unimproved land and agricultural sales. Agricultural assessment and recapture tax rules are governed by the Illinois Property Tax Code. Tile drainage, flood zone, septic system, and severed mineral rights issues require proper disclosure. Consult with an Illinois-licensed real estate attorney, CPA, and other qualified professionals before making any decisions. Laws and regulations change frequently. This information is current as of 2025 but may become outdated. We are land buyers, not attorneys or tax advisors. When we purchase your property, we handle transfer taxes, legal fees, and closing costs as stated in our purchase agreements.