Michael Bailey, local government affairs director for Illinois Realtors, told the Oak Park Finance Committee that the village's municipal transfer tax, at $8 per $1,000 of sales value, is one of the highest in Illinois and can suppress housing turnover and affordability.

"When coupled with high interest rates, this transfer tax has created an environment where homeowners are locked in, refusing to sell or consider buying," Bailey said, urging the committee to consider a program that would credit back the municipal transfer tax to sellers who choose to remain in Oak Park.

Bailey said transfer taxes can be regressive and disproportionately affect low-income and first-time buyers; he cited examples of other Chicago-area suburbs that have implemented credit-back or rebate programs. He offered to work with village staff to draft an approach.

Trustees asked questions but made no formal motion; staff said they would include the proposal in follow-up materials for the committee to consider alongside other affordability measures.