The chance to get a deep discount on rent on a Chicago apartment appears to be all but over at this point as rents continue to rise back towards pre-pandemic levels. However, those who were able to ink a lease over the winter and get one, or sometimes even two or three, months of free rent certainly came out on top. Rent concessions have all most burned off as the summer heat has moved into the Windy City, and a new report from Apartmentlist.com offers the latest insight into where rents currently are, and where we could expect to see them go in the coming months.
Overall, Chicago rent growth has lagged the state’s and the national percentage over the last year, however, the city has seen a modest 1.5% increase between June 2020 and June 2021. While it may only seem like a blip, the chart showing the steep negative and positive curve over the last 12 months indicates that the city’s apartments are mostly back to pre-pandemic rents. Just in the last month, Chicago rents have increased by 2.5%, Apartmentlist.com indicates. The state as a whole has seen a healthy 4.8% increase between June 2020 and June 2021, while the national average is a steep 8.4%.
According to the report, the median rent for a Chicago one-bedroom is $1,271 while the median rent for two-bedroom apartments is $1,401, or roughly $200 higher than the national average. When compared to other large and mid-sized metros, Chicago sits roughly in the middle of the pack when it comes to overall affordability. Cities such as New York and San Francisco, which had for years been prohibitively expensive, still remain pricey and have a higher cost of living than Chicago. However, Chicago beats out Baltimore, Philadelphia, and Houston when it comes to median apartment rents.
As rent prices continue to climb into the summer, it’s fairly safe to assume that pending any other national health emergencies, that the positive trend is likely to continue. And at this point, not only is 46% of the state’s population fully vaccinated, but many companies are finally asking employees to come back into the office. As more workers head back into their offices downtown and recent college grads move to the city to start their careers, landlords will use the opportunity to price apartments to keep up with current demand.
