Chicago Landlord

Some of you may have already noticed but rents are going up this year. So far Chicago’s rental market seems to be absorbing all of the homes and apartments that have not sold and rents are still going up. I have read a few theories on why (but do you even really care why?). One is that young people are finally moving out of their parents houses and leaving their roommates to find a place of their own. I think a lot of would-be buyers who could not afford to sell and/or to purchase are renting instead. I know of at least two clients, one who did sell and one who did not, that are both renting their new homes this year. There are forecast for double digit rental increases in some of the tighter markets like Boston and San Francisco. The market is not that tight here in Chicago but it is good enough that you should be able to seek 5-10% increase depending on your location and apartment size.

Please don’t forget the golden rule of landlords: it is cheaper to keep’em. Don’t drive your good tenants off with crazy increases. If you are going to have to paint the apartment, advertise, and change locks you might end up just breaking even. If you have tenants you like or tolerate give them a moderate increase, if they leave any way that is when you can drive up your rent.