A control system and method for a steer-by-wire system with the passive resistance torque is provided. The control system includes a controller configured to compensate for a passive resistance torque and to generate the required active torque using a three loop control structure: torque feedback loop, rate feedback loop, and steering wheel angle feedback loop. The torque feedback loop is based on an estimated steering torque signal calculated from a steering angle signal, a steering angle rate signal, and a motor current signal.