Illinois Rules: Moving from Rent-Controlled to Market Rent

If you're renting in Illinois and considering—or facing—the shift from rent-controlled protections to paying market rent, it helps to know what rights you have as a tenant. Illinois renters, especially in Chicago, may encounter terms like "rent control" or "rent stabilization". However, current state law offers limited protections regarding how much rent can be increased. This article explains why, what to expect, and how you can protect yourself if your rent goes up.

Does Illinois Have Rent Control?

At present, Illinois state law prohibits local governments from enacting rent control ordinances. This means that, except for some federally subsidized housing or properties under older special programs, most Illinois renters do not have rent-controlled apartments.^[1]

Under the Illinois Rent Control Preemption Act, no city or county—including Chicago—can set legal restrictions on how much private landlords raise rent.^[2]

What Does "Market Rent" Mean?

"Market rent" is the amount charged for similar apartments in your local area. Landlords in Illinois are generally allowed to raise rents to whatever the market will bear, except when bound by a current lease agreement or, rarely, federal affordable housing programs. In most cases, when you move from a rent-controlled (subsidized or protected) unit to a standard (market-rate) rental, your landlord can set a new rent once your lease term ends.

What Happens When You Move Out of a Rent-Controlled Apartment?

If your current home is part of a government-protected program (like Section 8), moving to a market-rate unit means:

• You lose protections from sudden rent increases.
• Landlords can require any rent amount as long as they give legal notice.
• Tenancy is governed by the Illinois Residential Tenants' Right to Repair Act and, in cities like Chicago, the Chicago Residential Landlord and Tenant Ordinance.^[3]

Practical example: If you were in a Section 8 unit where your rent was capped, and now sign a standard Chicago lease, your new landlord can increase rent any amount once your lease is over, provided they give legal notice.

Your Rights Regarding Rent Increases in Illinois

• Landlords cannot raise rent during a fixed lease term unless the lease allows it.
• When your lease expires, your landlord can increase rent by any amount.
• For month-to-month renters, the law requires at least 30-days' written notice for any rent increase.
• There is currently no cap on how high your rent can be raised in non-rent-controlled housing.

Required Forms & Legal Notices in Illinois

As a renter, it helps to know the forms you'll see during this transition:

• 30-Day Notice of Rent Increase
  • When used: If you're renting month-to-month, your landlord must provide a written 30-day notice to raise your rent.
  • Practical example: If your rent is $1,000 and your landlord wants to increase it to $1,250 starting next month, they must give you the notice at least 30 days before the new price applies.
  • Official template: Not standardized statewide, but you can reference this sample 30-Day Notice of Rent Increase (Illinois Legal Aid).
• Lease Agreement (Written Contract)
  • The terms for rent increases are set in your signed lease. Illinois does not require leases to be in writing for rentals under one year, but a written contract protects both parties. Download an Illinois sample lease agreement from the Illinois Dept. on Aging.

Which Agency Handles Rent Disputes?

Illinois does not have a statewide residential tenancy board. However, most disputes are handled in Illinois Housing Court (for Chicago and Cook County) or local county courts. Major cities like Chicago have tenant resources via the Department of Housing.

Relevant Illinois Tenancy Legislation

• Illinois Rent Control Preemption Act
• Illinois Residential Tenants' Right to Repair Act
• Chicago Residential Landlord and Tenant Ordinance (RLTO) (for Chicago apartments)

FAQ: Illinois Rent Laws and Moving to Market Rent

1. Does Illinois offer any rent control for regular apartments?
   No, Illinois law prohibits local rent control for privately owned apartments. Your rent can be increased to market rate as long as you receive the correct notice.
2. How much notice must a landlord give before increasing rent in Illinois?
   For month-to-month leases, a landlord must provide at least 30 days' written notice before a rent increase takes effect.
3. Can I challenge a large rent increase after moving out of subsidized housing?
   Unless your building is under a rare local restriction or still subsidized, you cannot challenge the rent increase based on the amount alone, but you can seek mediation in Housing Court for other disputes (discrimination, habitability, etc.).
4. Do Chicago renters have extra rent increase protections?
   No, Chicago follows the state ban on rent control. The RLTO provides other rights but does not limit how much rent can be raised.
5. Is there a board or department to help with unfair rent increases?
   You can contact your county Housing Court or the Chicago Department of Housing for information and resources, but Illinois does not have a statewide tenancy tribunal.

Conclusion: What Illinois Renters Should Know

• Illinois does not have rent control; most renters face unregulated rent raises when moving to market-rate apartments.
• Landlords must provide the correct written notice for rent increases, generally at least 30 days for month-to-month tenants.
• Seek help from local Housing Court or city housing departments if you have questions or rental disputes.

Need Help? Resources for Renters

• Illinois Legal Aid: Tenants' Rights
• City of Chicago Department of Housing (for Chicago tenants)
• Illinois Attorney General: Landlord/Tenant Rights
• Cook County Housing Court
• Illinois Rent Control Preemption Act

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1. See Section 1, Illinois Rent Control Preemption Act
2. Illinois General Assembly, Rent Control Preemption Act
3. Full list of Chicago renting rights: Chicago RLTO

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