Chicago IL rent increase 2026 Chicago has no rent control — the Illinois Rent Control Preemption Act (765 ILCS 720, enacted 1997 as Public Act 89-567) bars all Illinois municipalities from capping rents. Chicago landlords may raise rent any amount with proper notice. The Chicago Residential Landlord and Tenant Ordinance (RLTO), Municipal Code Chapter 5-12, provides security deposit 2× penalty, heat ordinance (68°F October 1–June 1), habitability rights, and 12-month anti-retaliation protection — but no rent cap. No Good Cause eviction ordinance enacted. Cook County Circuit Court / Chicago Housing Court (Daley Center, 50 W. Washington) for eviction proceedings.

The Illinois Rent Control Preemption Act: 765 ILCS 720

The operative text of the Illinois Rent Control Preemption Act is brief but absolute. 765 ILCS 720/2 states: “No municipality may enact, maintain, or enforce any ordinance or resolution which has the effect of controlling the amount of rent charged for leasing private residential or commercial property.”

Enacted in 1997 as Public Act 89-567 by the 90th Illinois General Assembly, the statute was sponsored in the House by Representative Patrick Levar and passed as a rider to broader housing legislation. The Chicagoland Apartment Association (CAA) and Illinois Realtors lobbied for the preemption, aiming to prevent the Chicago City Council from enacting a rent control ordinance that had been under active discussion since the late 1980s. Evanston — a college town anchored by Northwestern University, where rent control had been proposed in the early 1990s in response to student housing pressure — was also a key legislative target.

The statute covers all Illinois municipalities, including home-rule cities. Chicago holds home-rule status under Article VII, Section 6 of the Illinois Constitution, which grants it broad legislative authority over local affairs. However, the Illinois Supreme Court and lower courts have consistently held that valid state preemption statutes override home-rule authority in the preempted subject area. Because 765 ILCS 720 is an explicit, affirmative preemption of rent control, Chicago City Council cannot enact a rent control ordinance regardless of its political composition. In 2026, a majority of Chicago’s 50 alderpersons support repeal of the preemption in principle — but repeal requires action by the Illinois General Assembly, not the City Council.

The Act also prohibits commercial rent control, making Illinois one of a small number of states that has explicitly preempted both residential and commercial rent regulation at the state level.

Chicago Residential Landlord and Tenant Ordinance (RLTO): Municipal Code Chapter 5-12

While the Illinois preemption statute bars any rent cap, the Chicago Residential Landlord and Tenant Ordinance (RLTO), enacted in 1986 and codified at Chicago Municipal Code Chapter 5-12, provides an extensive set of tenant protections for units within its coverage. The RLTO is one of the more comprehensive local landlord-tenant ordinances in the United States for a non-rent-controlled city.

RLTO coverage: which units are included?

The RLTO covers most Chicago residential rental units. Excluded from RLTO coverage are:

• Owner-occupied buildings with 6 or fewer units (the most common exemption);
• Hotels, motels, inns, and rooming houses where the guest does not have a written lease of at least 32 days;
• Boarding houses (common areas shared with the owner);
• Hospitals, nursing homes, extended care facilities, and dormitories;
• Dwelling units in owner-occupied buildings of 2 to 4 units where the owner occupies one of the units.

Landlords of small owner-occupied two-flats and greystone buildings — a significant fraction of Chicago’s pre-war residential building stock — commonly fall outside RLTO coverage under the owner-occupied exclusion. All other Chicago residential rentals are subject to RLTO requirements regardless of building age, size, or rent level.

§5-12-080 through §5-12-082: security deposit requirements

The RLTO’s security deposit provisions are among the strongest in a non-rent-controlled U.S. city:

• Separate interest-bearing account: The landlord must deposit the security deposit in a federally insured interest-bearing account separate from the landlord’s own assets within 5 business days of receiving it. The account must be designated for that specific tenant’s deposit.
• Annual interest rate: The City Comptroller sets the applicable interest rate annually (published by December 1 for the following year). The landlord must pay the accrued interest to the tenant either annually or within 30 days of the end of each 12-month rental period. Failure to pay interest triggers tenant remedies.
• Return within 30 days: Following a tenant’s move-out, the landlord must return the deposit (along with any accrued interest) within 30 days, accompanied by an itemized written statement of any deductions for damages or unpaid rent. The itemized statement must be accompanied by copies of paid receipts for any repair work if the deductions exceed $125.
• Self-help deposit application: If the landlord fails to return the deposit with an itemized statement within 30 days, the tenant has an automatic right (no court action required) to apply the security deposit as rent. This is a significant practical right: a tenant who has not received the deposit back may simply deduct it from a future rent payment.
• Civil penalty for non-compliance: A landlord who willfully retains the security deposit without an itemized statement, or who fails to comply with the interest requirements, is liable for 2× the security deposit plus reasonable attorney fees.
• No cap on deposit amount: Unlike California (which caps security deposits at 2 months’ rent for unfurnished units under Civil Code §1950.5) or Minnesota (which caps deposits at 1 month’s rent), Illinois and Chicago place no ceiling on the amount of a security deposit a landlord may collect. Chicago landlords frequently collect 1–2 months’ rent as deposit, though market competition in many submarkets limits the practical maximum.

§5-12-110 / §7-40-020: Chicago heat ordinance

Chicago’s heat ordinance is one of the strongest municipal heating standards in the United States:

• Required temperature: Minimum 68°F (20°C) between 8:30 a.m. and 10:30 p.m.; minimum 66°F (18.9°C) between 10:30 p.m. and 8:30 a.m.
• Heating season: October 1 through June 1 annually — an eight-month window reflecting Chicago’s harsh Midwest winters and extended cold shoulder seasons.
• Tenant remedies for heat failure: A tenant may call 311 to report a heat complaint; the City can compel emergency heating and may impose fines on the landlord. Under the RLTO, a tenant experiencing inadequate heat may withhold rent proportionally after providing written notice and a reasonable opportunity to cure, or may use the repair-and-deduct remedy.

§5-12-140: RLTO summary pamphlet disclosure

At the commencement of each tenancy, a Chicago landlord must provide the tenant with a copy of the RLTO summary pamphlet (available from the Chicago City Clerk, 121 N. LaSalle St., and online at the City Clerk’s website). The pamphlet summarizes the tenant’s rights under the RLTO, including security deposit protections, heat ordinance requirements, habitability standards, and anti-retaliation rules.

Failure to provide the RLTO pamphlet bars the landlord from pursuing eviction proceedings until the deficiency is cured. Courts have dismissed eviction actions brought by landlords who did not provide the required pamphlet. This is a meaningful compliance requirement that out-of-state or first-time Chicago landlords frequently overlook.

§5-12-110: habitability and repair-and-deduct

The RLTO establishes an implied warranty of habitability for covered units. Landlords must maintain units in compliance with the Chicago Property Maintenance Code. Tenant remedies for habitability violations include:

• Repair-and-deduct (minor repairs): after providing written notice to the landlord and waiting 14 days without cure, the tenant may arrange for the repair and deduct the cost from rent — up to the lesser of $500 or one-half the monthly rent.
• Rent withholding (serious conditions): for more significant habitability failures, the tenant may withhold a proportional amount of rent after notice, or seek court-ordered rent escrow pending repairs.
• Lease termination: for conditions that make the unit uninhabitable, the tenant may terminate the lease and vacate without further rent obligation.

§5-12-160: unlawful lockout remedy

A Chicago landlord who engages in unlawful lockout — changing the locks, removing doors or windows, shutting off utilities, or removing the tenant’s belongings to force a tenant out without a court judgment and writ of possession — is liable for 2× the monthly rent plus reasonable attorney fees. The tenant may also obtain an emergency court order for re-entry. Self-help eviction is illegal in Chicago regardless of whether the tenant has paid rent or complied with the lease.

§5-12-150: anti-retaliation (12-month presumption)

The RLTO bars a Chicago landlord from taking any of the following adverse actions within 12 months of a tenant’s assertion of RLTO rights, participation in a tenant union or organization, or good-faith code complaint:

• Increasing the tenant’s rent;
• Decreasing services provided to the tenant;
• Threatening to bring an eviction action;
• Refusing to renew a lease;
• Any other form of material adverse treatment.

The 12-month presumption of retaliation is one of the longest retaliation-protection windows in U.S. landlord-tenant law. California’s anti-retaliation statute (Civil Code §1942.5) creates a 180-day presumption; Oregon’s ORS 90.385 creates a 90-day presumption. Chicago’s 12-month window means that a landlord who raises rent within a year of a tenant filing a 311 complaint faces a strong presumption of retaliation, which the landlord must rebut by showing a non-retaliatory business reason for the increase.

§5-12-130: rent increases — no cap, but notice required

The RLTO explicitly addresses rent increases:

• No cap on amount: A Chicago landlord may increase rent by any dollar amount or percentage. The RLTO and Illinois law impose no maximum.
• Month-to-month tenancy: at least 30 days’ advance written notice is required before the rent increase takes effect. Illinois Residential Tenancies Act (765 ILCS 710/1 et seq.) requires the same for periodic monthly tenancies.
• Fixed-term lease: rent is contractually locked for the lease term. A landlord may not unilaterally raise rent during a fixed-term lease without the tenant’s written agreement. New rent is offered at renewal, with notice as specified in the lease (typically 30–60 days before expiration).
• No required notice form: unlike California (where AB 1482 and Civil Code §827 require specific statutory language for covered units) or Oregon (where SB 611 requires 90 days’ notice and specific content for any rent increase exceeding the allowed cap), Chicago requires only written notice — no specific form, no required statement of reason.

Legislative history: the “Lift the Ban” campaign and failed repeal efforts

Tenant advocates have mounted sustained campaigns to repeal 765 ILCS 720 since its enactment:

• 2019: The “Lift the Ban” coalition — led by Logan Square Neighborhood Association, Metropolitan Tenants Organization, Autonomous Tenants Union, and allied groups — launched a Chicago rent control campaign and began gathering signatures for a non-binding advisory referendum in multiple wards.
• March 2020: Non-binding advisory referendum in Chicago City Council’s 2nd Ward (Ald. Brian Hopkins) showed majority voter support for rent control, demonstrating public appetite for regulation that state law prohibits.
• February 2020: Chicago City Council passed Resolution O2019-1843 by a 33-11 vote, calling on the Illinois General Assembly to repeal 765 ILCS 720. Key sponsors: Ald. Carlos Ramirez-Rosa (35th Ward, Logan Square) and Ald. Walter Burnett Jr. (27th Ward). The resolution has no legal effect on the preemption — it is a political statement to the General Assembly.
• 2021: Illinois HB 3202, introduced by Rep. Delia Ramirez (Humboldt Park/Logan Square, now U.S. Representative for Illinois’ 3rd Congressional District), would have repealed 765 ILCS 720. The bill died in the House Rules Committee without a floor vote or committee hearing.
• 2023: Illinois SB 1150 and HB 2862 were introduced in the 103rd General Assembly to repeal the preemption. Both died in committee. No floor vote in either chamber.
• 2025–2026: Governor J.B. Pritzker, re-elected in 2022, has not prioritized preemption repeal in the 104th General Assembly. The Lift the Ban coalition remains active in Chicago advocacy but has not achieved a legislative breakthrough. As of mid-2026, 765 ILCS 720 remains fully in force, and no Illinois municipality has enacted rent control.

Cook County and suburban context

Chicago is coextensive with Cook County in the sense that the city lies entirely within Cook County’s boundaries, though the county extends significantly beyond city limits into suburban municipalities. The Cook County Board of Commissioners has no rent control ordinance and has not proposed one. All suburban Cook County municipalities — including Evanston, Oak Park, Skokie, Cicero, Berwyn, and Rosemont — are subject to 765 ILCS 720 and thus prohibited from enacting rent control.

Evanston deserves particular note: home to Northwestern University (~21,000 students) and long a center of progressive local politics, Evanston has considered alternative tenant protections in the absence of rent control authority, including relocation assistance ordinances requiring landlords to pay moving costs for no-fault non-renewals above a threshold rent increase. These “relocation assistance” or “anti-displacement” approaches do not control the amount of rent and thus do not violate 765 ILCS 720. No Cook County suburb has enacted a comprehensive RLTO-equivalent, leaving suburban tenants with fewer procedural protections than Chicago renters covered by the RLTO.

Illinois landlord-tenant statutory framework

Unlike California (with its comprehensive Civil Code landlord-tenant provisions), New York (Rent Stabilization Law, Rent Stabilization Code, Emergency Tenant Protection Act), and Oregon (ORS Chapter 90), Illinois has no omnibus statewide landlord-tenant statute. The Illinois Residential Tenancies Act (765 ILCS 710, 720, 730) is a collection of limited statutes: 765 ILCS 710 covers security deposit receipts; 765 ILCS 720 is the rent control preemption; 765 ILCS 730 addresses tenant protection from discrimination in utility costs. There is no Illinois equivalent of California’s Civil Code §§1940–1954.06, which comprehensively addresses habitability, security deposits, entry rights, and AB 1482 rent caps in a single framework.

The Chicago RLTO substantially fills this gap for Chicago renters, providing the habitability, security deposit, anti-retaliation, and procedural protections that state law does not. Suburban Illinois renters lack equivalent local protections and rely primarily on common law lease principles and the limited Illinois Residential Tenancies Act provisions.

Chicago rental market 2026: neighborhoods and rent ranges

Chicago’s rental market spans approximately 850,000–950,000 rental units within city limits (1.3–1.5 million across the Chicago metro) and is geographically diverse, with dramatically different rent levels, building stock ages, and demand drivers across the city’s 77 community areas.

The Loop / South Loop / West Loop — Fulton Market tech corridor

The Loop is Chicago’s central business district, occupying the area bounded by the elevated train (the “L”) tracks. Historically office-dominated, the Loop has added significant residential units above commercial space since 2010, with the South Loop expanding southward and the West Loop / Fulton Market corridor emerging as Chicago’s most dynamic rental market. Google’s Chicago office at 1000 W. Fulton Market (Fulton East, opened 2022; ~2,500–3,000 employees) anchors a tech-employer cluster that has pushed West Loop one-bedroom rents to $2,200–$3,500 for Class A product. JPMorgan Chase (~20,000–25,000 Chicago-area employees at 21 S. Clark) and United Airlines (Willis Tower, 233 S. Wacker) are the Loop’s dominant non-tech employers. The West Loop’s restaurant row on Randolph Street and the adjacent Fulton Market Innovation District have made this one of Chicago’s most rapidly appreciating rental submarkets. Without rent control, the transition of the West Loop from meatpacking district to tech hub has proceeded without any regulatory brake on displacement.

River North / Gold Coast / Streeterville — highest-rent submarket

The River North to Streeterville corridor, running from the Chicago River north to Oak Street and east to Lake Michigan, is Chicago’s highest-rent residential submarket. Northwestern Memorial Hospital (251 E. Huron, Streeterville; ~10,000 Chicago employees; Level 1 Trauma Center) is the dominant employer in the Streeterville and Gold Coast rental market, drawing attending physicians, nursing staff, and administrative workers to the surrounding neighborhoods. Gold Coast one-bedroom rents range from $2,500 to $4,000+ in premium high-rise buildings. River North, with its gallery district and restaurant scene, has 1BR rents of $2,000–$3,500. The complete absence of rent control means tenants in desirable Gold Coast high-rises face uncapped renewal increases when market conditions favor landlords.

Lincoln Park / Lakeview / Wrigleyville — established upscale residential

Lincoln Park and Lakeview form Chicago’s most established upscale residential belt, running north along the lakefront. DePaul University (~16,500 students, Lincoln Park campus) contributes significant student and young-faculty rental demand. Advocate Illinois Masonic Medical Center (Wrigleyville; part of Advocate Aurora Health’s ~10,000 Chicago-area employees) anchors healthcare worker rental demand in Lakeview. Wrigley Field (5.3 million Cubs fans annually, generating a concentrated Wrigleyville rental demand zone) adds a distinctly Chicago demand factor. One-bedroom rents in Lincoln Park and Lakeview typically range $1,700–$2,800. The pre-war greystones and courtyard buildings of Lincoln Park would be rent-stabilized in New York City (pre-1974, 6+ units); in Chicago, they carry no such protection.

Wicker Park / Bucktown / Ukrainian Village — arts and tech workers

Wicker Park and Bucktown, northwest of the Loop along the Milwaukee Avenue corridor, have been Chicago’s premier arts and entertainment neighborhood since the 1990s and have increasingly attracted tech and creative-industry workers drawn to the West Loop’s Google/Motorola corridor. Ukrainian Village, immediately east, offers a somewhat more affordable counterpart with significant pre-war Eastern European immigrant housing stock now occupied by young professionals. One-bedroom rents in Wicker Park and Bucktown range $1,500–$2,600. Motorola Solutions (500 W. Monroe; ~6,000 Chicago-area employees) and Google’s Fulton Market office are the primary large-employer anchors for this submarket.

Logan Square — gentrification epicenter and “Lift the Ban” ground zero

Logan Square — a historically Latino and Puerto Rican community along the Milwaukee/Kedzie corridor and the Logan Square boulevard system — has experienced some of Chicago’s most rapid and documented gentrification since approximately 2015. One-bedroom rents have climbed from roughly $800–$1,000 in 2013 to $1,400–$2,200 by 2026. The Lift the Ban coalition has its strongest organizing presence in Logan Square, and Ald. Carlos Ramirez-Rosa’s 35th Ward (Logan Square) was a primary sponsor of the 2020 City Council resolution calling on the state to repeal 765 ILCS 720. The Chicago O’Hare International Airport employment cluster (~50,000+ on-airport workers) and the Logan Square Blue Line corridor create strong transit-accessible workforce housing demand. Without rent control, longtime residents face market-rate displacement as neighborhood character changes.

Hyde Park / Woodlawn / Kenwood — academic community

Hyde Park, on Chicago’s South Side lakefront, is defined by the University of Chicago (5801 S. Ellis Ave.; ~14,000 faculty and staff; 18,000+ students). UC is the largest private employer on Chicago’s South Side and the dominant anchor of the Hyde Park rental market. One-bedroom rents in Hyde Park range $1,200–$2,000, with significant variation between UC-owned and -managed faculty housing and private market units. Woodlawn, immediately south of Hyde Park, is undergoing development driven by the anticipated opening of the Obama Presidential Center (scheduled to open approximately 2027), which has accelerated speculative land acquisition and rent increases in the surrounding blocks. The Obama Center effect on Woodlawn rents is one of the most cited examples of how major publicly funded projects can drive rent increases in the absence of any protective ordinance.

Pilsen / Little Village / Back of the Yards — working-class Mexican-American communities

Pilsen (Lower West Side community area) and Little Village (South Lawndale) are Chicago’s largest and most established Mexican-American communities, with dense working-class housing stock, proximity to UIC (601 S. Morgan; ~12,000 employees; largest Illinois university by enrollment), and a significant arts community in Pilsen. One-bedroom rents in Pilsen range $1,000–$1,600; in Little Village and Back of the Yards they are lower ($700–$1,100), among the most affordable neighborhoods within Chicago city limits. Amazon’s West Side and South Side logistics workers and Chicago O’Hare Air Hub workforce (Midway cargo operations) are significant employer anchors for this submarket. Pilsen has experienced documented gentrification pressure since approximately 2013, with artists and young professionals drawn by lower rents relative to Wicker Park and Bucktown — a classic displacement dynamic operating without any rent stabilization brake.

Rogers Park / Edgewater — lakefront affordable, Loyola anchor

Rogers Park, Chicago’s northernmost neighborhood on the lakefront, has historically been Chicago’s most affordable lakefront community and one of its most racially and ethnically diverse. Loyola University Chicago (1032 W. Sheridan Rd.; ~4,500 faculty and staff; ~17,000 students; Stritch School of Medicine in adjacent Maywood) is the dominant employment anchor. One-bedroom rents in Rogers Park range $900–$1,400, significantly below comparable lakefront neighborhoods to the south. The neighborhood has the largest concentration of long-tenancy renters-by-choice in Chicago — residents who have lived in the same building for 10–30+ years and who have no legal protection against rent increases when their leases expire.

Bronzeville / South Shore / Chatham / Englewood — historic Black community

The historic Black Belt of Chicago’s South Side — including Bronzeville (Chicago’s Harlem, with the historic Rosenwald Courts apartment complex, a registered landmark), South Shore, Chatham, and Englewood — has Chicago’s lowest rents: $800–$1,300 for a one-bedroom in much of this corridor. These are also neighborhoods that have faced decades of disinvestment, high vacancy rates, and declining building quality. The absence of rent control has historically not been the primary affordability issue here (rents are already low); the primary concerns are habitability enforcement, abandonment, and the need for capital investment. The Obama Presidential Center (Woodlawn) effect, however, is beginning to raise rents at the northern edge of this corridor, bringing rent-pressure dynamics that did not previously exist in this part of the South Side.

North Shore suburbs: Evanston, Oak Park, Berwyn

All Cook County suburban municipalities — including Evanston (Northwestern University anchor, significant pre-war apartment stock), Oak Park (commuter suburb, Frank Lloyd Wright architecture tourism, 1BR $1,200–$2,000), and Berwyn (working-class bungalow suburb, 1BR $900–$1,400) — are subject to 765 ILCS 720 and thus barred from enacting rent control. None have done so. Evanston has explored relocation-assistance ordinances as an alternative approach (requiring landlords to pay moving costs for no-fault non-renewals where the rent increase exceeds a threshold), which does not control rent and thus does not violate the preemption. No Cook County suburb has enacted an RLTO-equivalent ordinance comparable to Chicago’s.

Chicago’s major employer anchors and rental demand geography

Chicago’s rental market is shaped by a diverse set of major employers whose geographic distribution drives demand across multiple neighborhoods. Understanding the employer landscape is essential for landlords and tenants evaluating rental market conditions in specific submarkets.

Employer	Location / Hub	Chicago Employees	Primary Rental Submarkets Affected
Rush University Medical Center	1653 W. Congress Pkwy (Medical District / Near West Side)	~15,000	Near West Side, Pilsen, University Village, UIC corridor
Northwestern Memorial Hospital / Northwestern Medicine	251 E. Huron (Streeterville)	~10,000 Chicago (~32,000 IL system-wide)	Streeterville, Gold Coast, River North, Lincoln Park
University of Chicago	5801 S. Ellis Ave. (Hyde Park)	~14,000 faculty/staff; 18,000+ students	Hyde Park, Woodlawn, Kenwood, South Shore
University of Illinois Chicago (UIC)	601 S. Morgan (Near West Side)	~12,000 employees; ~33,000 students	Pilsen, University Village, Near West Side, Little Village
JPMorgan Chase	21 S. Clark (Loop)	~20,000–25,000 Chicago-area	Gold Coast, River North, South Loop, West Loop
Google Chicago	1000 W. Fulton Market (West Loop)	~2,500–3,000	West Loop, Wicker Park, Ukrainian Village, Bucktown
United Airlines (HQ)	Willis Tower, 233 S. Wacker (Loop)	~8,000 Chicago / O’Hare	Loop, South Loop, near O’Hare suburbs
Chicago O’Hare International Airport (ORD)	NW Chicago / Rosemont / Schiller Park	~50,000+ total on-airport	Logan Square, Albany Park, Rogers Park, Irving Park, Edison Park
Amazon (Chicago metro)	MDW Air Hub (Midway), 15+ fulfillment/delivery stations	~20,000+ metro	Back of the Yards, Pilsen, South Side, West Side logistics corridors
Advocate Aurora Health	10+ Chicago-area hospitals (IL Masonic in Wrigleyville; Advocate Christ in Oak Lawn)	~10,000 Chicago proper (~35,000+ IL system)	Lakeview, Wrigleyville, Lincoln Square, Ravenswood
Motorola Solutions	500 W. Monroe (Loop/Near West)	~6,000 Chicago-area	West Loop, Wicker Park, Bucktown, Near West Side
Loyola University Chicago	1032 W. Sheridan (Rogers Park)	~4,500 faculty/staff; ~17,000 students	Rogers Park, Edgewater, Andersonville, Ravenswood

State preemption comparison: Illinois vs. other preemption and rent-control states

Illinois is not alone in preempting local rent control. The following table compares states with rent-control preemption laws against states where active rent control exists:

State / Jurisdiction	Preemption?	Key Statute	Active Rent Control Cities	Notes
Illinois	Yes (1997)	765 ILCS 720	None	Also bars commercial rent control; covers all municipalities including Chicago
Texas	Yes (1993)	Tex. Local Gov’t Code §214.902	None	See Texas preemption analysis; Houston no rent cap
Arizona	Yes (1981)	A.R.S. §33-1329	None	Bars residential rent control; Phoenix, Tucson, Scottsdale all unregulated
Florida	Yes (1977)	Fla. Stat. §125.0103 / §166.043	None (Miami 2023 rent control struck down)	Miami-Dade County rent control declared unconstitutional under FL statute in 2023
Georgia	Yes (1984)	O.C.G.A. §44-7-19	None	Atlanta, Savannah, Augusta all unregulated
Colorado	Partial repeal (2021)	C.R.S. §38-12-301 (amended by SB 21-173)	None enacted yet	2021 repeal allows municipalities to enact rent control; no city has done so as of 2026
Wisconsin	Yes (1981)	Wis. Stat. §66.1015	None	Milwaukee, Madison, Green Bay all unregulated
Tennessee	Yes (2015)	Tenn. Code Ann. §66-35-102	None	Nashville, Memphis unregulated
Indiana	Yes (1981)	Ind. Code §32-31-1-16	None	Indianapolis, Fort Wayne unregulated
Missouri	Yes (1988)	Mo. Rev. Stat. §441.043	None	Kansas City, St. Louis unregulated
California	No (Costa-Hawkins limits)	Cal. Civ. Code §§1954.50–1954.535; AB 1482	Los Angeles, San Francisco, Oakland, Santa Monica, Berkeley, and many more	AB 1482 statewide cap (CPI+5%); local ordinances layered on top; Costa-Hawkins bars vacancy control and exempts post-1995 and single-family
Oregon	No	ORS Chapter 90 / SB 611 (2023)	Portland (local); SB 611 statewide 10% cap	First state with statewide rent control (SB 608 / SB 611); 10% cap above CPI statewide
New York	No (ETPA enables local)	NY RSL; ETPA; HSTPA 2019	NYC (~1M stabilized units); Nassau, Rockland, Westchester counties (ETPA)	See NYC RSL complete guide
Washington DC	N/A (federal district)	DC Code §42-3501 et seq.	DC (Rental Housing Act 1985)	~70% of DC rentals covered; CPI-based annual increases; just-cause eviction
Maryland	No (local authority)	Md. Code Real Property	Montgomery County (Rent Stabilization Act)	Montgomery County active ordinance; Baltimore City no rent control
Minnesota	Partial (state law limits some local authority)	Minn. Stat. §471.9996	Minneapolis (Ch. 244, enacted 2021, 3% cap effective 2022); Saint Paul	Minnesota removed its preemption for first-class cities in 2021; Minneapolis and Saint Paul enacted local ordinances

What happens without rent control: Chicago’s market-rate mechanism

In the absence of rent control, Chicago’s rental market is governed entirely by supply and demand dynamics. The policy debate in Chicago mirrors national arguments:

The supply-side argument

Economists and developer groups argue that Chicago’s most effective tool for housing affordability is new multifamily construction. Chicago added significant multifamily supply between 2020 and 2025, particularly in the South Loop, West Loop, and Lincoln Yards corridor (a planned 55-acre mixed-use development along the North Branch of the Chicago River). Chicago’s flat topography, grid street system, and relatively streamlined (compared to coastal cities) permitting process make construction easier and cheaper than in San Francisco or New York. The argument is that new supply in high-demand areas “filters” downward: new Class A units absorb demand from high-income renters, freeing up existing Class B/C stock and relieving pressure on lower rents.

The tenant displacement argument

Tenant advocates in Logan Square, Pilsen, Humboldt Park, and Woodlawn counter that new construction primarily serves higher-income renters and does not protect existing lower-income residents from displacement. In neighborhoods where existing renters cannot afford new construction rents, the argument goes, new supply does not relieve pressure on their specific housing — it accelerates the neighborhood-change dynamic by signaling to landlords that the neighborhood is upgrading, enabling rent increases in the existing stock. Without any stabilization mechanism, long-tenancy working-class residents face the same uncapped market exposure as new arrivals. Chicago’s cumulative rent growth of 8–20% from 2022 to 2026 (varying by submarket) illustrates the scale of this pressure.

Chicago vs. comparable Midwest and national cities: rent control landscape

City	Rent Control	Good Cause Eviction	Key Local Ordinance	Typical 1BR Rent (2026)
Chicago IL	None (765 ILCS 720 preemption)	None (proposed, not enacted)	RLTO Ch. 5-12; 765 ILCS 720	$900–$3,500+ (by neighborhood)
Minneapolis MN	Active — Ch. 244 (3% cap, 2022)	Yes — Ch. 244 just-cause	Minneapolis Rent Stabilization Ordinance Ch. 244	$1,200–$2,500
Milwaukee WI	None (Wis. Stat. §66.1015 preemption)	None	Milwaukee Code Ch. 200 (habitability)	$900–$1,600
Detroit MI	None	None	Michigan Act 348 governs	$800–$1,600
Columbus OH	None (Ohio preemption)	None	Ohio Rev. Code Ch. 5321	$1,000–$1,800
New York City NY	~1M stabilized units; RGB Order #57 (2.75%/5.25%)	Yes — for stabilized tenants (§26-511)	NY RSL; ETPA; HSTPA 2019	$2,500–$6,000+
Los Angeles CA	Active RSO (pre-1978 buildings); AB 1482 statewide	Yes — RSO just-cause; AB 1482 just-cause (12 mo.)	LAMC 151.00 et seq.; Cal. Civ. Code §1947.12	$2,000–$4,500+
Portland OR	SB 611 statewide cap (10%); local ordinance	Yes — SB 608 just-cause (12 months)	ORS Ch. 90; Portland City Code	$1,400–$2,800
Washington DC	Active (Rental Housing Act 1985)	Yes — DC just-cause (§42-3505.01)	DC Code §42-3501 et seq.	$2,000–$4,000

Landlord compliance checklist for Chicago 2026

Chicago has no rent cap, but it does have a robust set of procedural requirements that carry significant penalties. The following eight-step checklist covers what Chicago landlords must do:

1. Confirm RLTO coverage. Determine whether your building is covered by the Chicago RLTO (Ch. 5-12) or exempt. The most common exemption: owner-occupied buildings with 6 or fewer units. If you live in a 2- to 4-unit building and occupy one unit, the other units may be exempt from RLTO. Confirm coverage before applying RLTO-specific requirements to avoid over-compliance (or, if you are covered, under-compliance).
2. Obtain a Chicago Dept. of Buildings rental license (annual). All Chicago residential rental units require a City of Chicago rental license, obtained through the Chicago Department of Buildings (DOB). The license must be renewed annually. Operating without a valid rental license exposes the landlord to fines and may affect the ability to pursue eviction proceedings.
3. Provide the RLTO summary pamphlet to each tenant at the start of each tenancy. The RLTO pamphlet is available from the Chicago City Clerk (121 N. LaSalle St. or online). Provide a copy at the commencement of every new tenancy — including renewals. Failure to provide the pamphlet bars eviction proceedings until the omission is cured. Retain a signed tenant acknowledgment of receipt.
4. Collect security deposit in a separate federally insured interest-bearing account; provide written receipt. Within 5 business days of receiving the security deposit, deposit it in a separate, designated interest-bearing account. Provide the tenant with a written receipt identifying the financial institution, account type, and the interest rate. Do not commingle the deposit with your operating funds.
5. Calculate and pay annual interest at the City Comptroller rate. The City Comptroller publishes the applicable interest rate by December 1 for the following year. Pay accrued interest to the tenant within 30 days of each 12-month anniversary of the tenancy. Failure to pay interest (or to notify the tenant within 30 days of receiving the deposit of the account details) entitles the tenant to deduct the interest from rent.
6. Serve proper written notice for any rent increase. For month-to-month tenancies: at least 30 days’ advance written notice before the new rent takes effect. For fixed-term leases: provide the renewal offer (with any new rent) within the timeframe specified in the lease (typically 30–60 days before expiration). Retain proof of delivery. Do not raise rent mid-lease without the tenant’s written agreement.
7. Return the security deposit within 30 days of move-out with an itemized statement. After the tenant vacates, return the deposit (plus accrued interest, less lawful deductions) within 30 days. Provide an itemized written statement of any deductions with copies of paid receipts if deductions exceed $125. Failure to comply: the tenant may apply the deposit as rent, and you are liable for 2× the deposit amount plus attorney fees.
8. Before non-renewal or eviction: confirm RLTO compliance; no Good Cause requirement, but anti-retaliation applies. Chicago has no Good Cause eviction ordinance: you may decline to renew a lease (with proper notice) without stating a reason. However, the 12-month anti-retaliation presumption (§5-12-150) bars non-renewal or rent increases within 12 months of the tenant exercising RLTO rights, joining a tenant union, or making a good-faith code complaint. If the non-renewal follows any such activity, ensure you have a documented non-retaliatory business reason. For eviction filings, file in Cook County Circuit Court (Daley Center, 50 W. Washington). Never self-help: illegal lockout = 2× monthly rent plus attorney fees.

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Chicago tenant resources

• Metropolitan Tenants Organization (MTO) — Chicago’s largest tenant advocacy and counseling organization; RLTO advice, tenant organizing, referrals; (773) 292-4988; tenants-rights.org
• Chicago Rents Right — City of Chicago program providing landlord-tenant information and mediation; (312) 742-RENT (742-7368); chicago.gov/rentsright
• Lift the Ban Coalition — tenant advocacy organization campaigning to repeal 765 ILCS 720; active in Logan Square, Humboldt Park, Pilsen; lifttheban.org
• Cook County Legal Aid for Housing (formerly CARPLS) — free legal assistance for low-income tenants in eviction and housing matters; (855) 956-5763
• Chicago Legal Clinic — South Side tenant legal aid; (773) 731-1762; chicagolegalclinic.org
• Illinois General Assembly (ILGA) — full text of 765 ILCS 720 at ilga.gov
• Chicago City Clerk — RLTO pamphlet and City Council ordinances; 121 N. LaSalle St.; (312) 744-6861; chicityclerk.com
• Chicago Department of Buildings (DOB) — rental licensing, code complaints; (312) 744-5000; 311 for routine code complaints
• Cook County Circuit Court — Housing Division — Richard J. Daley Center, 50 W. Washington, Chicago IL 60602; (312) 603-5030

Frequently asked questions about Chicago rent increases 2026

Does Chicago have rent control in 2026?

No. The Illinois Rent Control Preemption Act, 765 ILCS 720/1 et seq. (enacted 1997), prohibits all Illinois municipalities from enacting, maintaining, or enforcing any ordinance or resolution controlling the amount of rent charged for residential or commercial property. Chicago has no rent stabilization board, no annual guideline percentage, and no administrative process for challenging rent increases. The Chicago RLTO (Ch. 5-12) provides tenant protections but does not and cannot cap rent.

How much can a Chicago landlord raise rent in 2026?

Any amount, with proper notice. Illinois law and the Chicago RLTO impose no cap on the size of a rent increase. For month-to-month tenancies, at least 30 days’ advance written notice is required. For fixed-term leases, rent is locked for the lease term; a landlord cannot raise rent mid-lease without the tenant’s written agreement. New rent is offered at renewal. No justification is required.

What is the Illinois Rent Control Preemption Act and when was it enacted?

The Illinois Rent Control Preemption Act is 765 ILCS 720/1 et seq., enacted in 1997 as Public Act 89-567 by the 90th Illinois General Assembly. The operative provision, 765 ILCS 720/2, states: “No municipality may enact, maintain, or enforce any ordinance or resolution which has the effect of controlling the amount of rent charged for leasing private residential or commercial property.” It covers all Illinois municipalities including Chicago. It also bars commercial rent control. Legislative repeal efforts (HB 3202 in 2021; SB 1150 and HB 2862 in 2023) have all failed in committee.

Does Chicago have Good Cause eviction protection?

No. As of 2026, Chicago has not enacted a Good Cause (Just Cause) eviction ordinance. It was proposed in City Council in 2021–2022 but not enacted. A Chicago landlord may decline to renew a lease (with proper advance notice) without providing any reason. The RLTO’s 12-month anti-retaliation provision (§5-12-150) protects tenants who exercise RLTO rights, but anti-retaliation is distinct from Good Cause: it bars specific retaliatory acts, not all no-cause non-renewals.

What tenant protections does Chicago’s RLTO provide?

The Chicago RLTO (Municipal Code Ch. 5-12, enacted 1986) provides, for covered units: security deposit in separate interest-bearing account with 2×-deposit civil penalty for non-compliance; heat ordinance (68°F Oct 1–Jun 1); RLTO pamphlet disclosure at commencement of each tenancy (failure bars eviction); implied warranty of habitability with repair-and-deduct ($500 or ½ monthly rent after 14-day notice); lockout remedy (2× monthly rent); and 12-month anti-retaliation presumption. None of these provisions cap the amount of rent.

How does Chicago compare to NYC rent stabilization?

The contrast is stark. NYC has approximately 1 million stabilized units subject to the Rent Stabilization Law, with annual Rent Guidelines Board-set increases (Order #57: 2.75% for one-year renewals; 5.25% for two-year renewals). Post-HSTPA 2019: vacancy bonus abolished, preferential rents frozen as permanent base, IAI and MCI temporary. NYC stabilized tenants also have statutory just-cause eviction protection. Chicago has no rent cap, no stabilization board, no vacancy control, no just-cause ordinance, and no administrative process for challenging increases. See NYC RSL complete guide.

Can Chicago City Council enact rent control?

No. 765 ILCS 720 explicitly preempts all Illinois municipalities, including home-rule cities like Chicago, from enacting rent control. The 2020 City Council resolution (O2019-1843, passed 33-11) calling on the General Assembly to repeal the preemption has no legal effect. Repeal requires action by the Illinois General Assembly, not the City Council. Legislative repeal efforts (HB 3202 in 2021; SB 1150 and HB 2862 in 2023) have all failed. The preemption is fully in force as of mid-2026.

Where are Chicago landlord-tenant disputes heard?

Eviction proceedings (Forcible Entry and Detainer actions, 735 ILCS 5/9-101 et seq.) are filed in Cook County Circuit Court, Richard J. Daley Center, 50 W. Washington, Chicago IL 60602; (312) 603-5030. Security deposit and damages claims are filed in Cook County Circuit Court (small claims for claims under $10,000). Code complaints (heat, habitability, RLTO violations) go to the Chicago Department of Buildings (311 or (312) 744-5000). Free tenant counsel: Metropolitan Tenants Organization (773) 292-4988; Cook County Legal Aid for Housing (855) 956-5763; Chicago Rents Right (312) 742-7368.