2024 Housing Provider Survey

01

Respondent Profile

The 2024 NBOA Housing Provider Survey captured responses from 279 property owners and managers across the Chicago metropolitan area, representing a diverse portfolio of residential rental properties ranging from small-scale operators to larger management companies.

279
Total Survey Responses from Chicago Housing Providers

69.5%
Respondents Own or Manage 100 Units or Fewer

64.1%
Property Owners

35.9%
Property Managers

Property Portfolio Size Distribution

Survey respondents represent a wide range of property portfolio sizes, from small independent landlords to larger property management operations across Chicago and surrounding suburbs.

Number of Residential Properties Owned or Managed

Property Count Range Percentage of Respondents
1-5 properties 48%
6-10 properties 18%
11-20 properties 11%
21-50 properties 10%
Greater than 50 properties 13%

Number of Residential Units Owned or Managed

Unit Count Range Percentage of Respondents
0-20 units 34%
21-50 units 22%
51-100 units 13%
101-250 units 12%
251-500 units 7%
500-1,000 units 8%
Greater than 1,000 units 4%

Small-scale operators dominate the Chicago rental housing market: Nearly 70% of survey respondents own or manage 100 units or fewer, demonstrating that independent property owners and small management companies represent the majority of Chicago’s housing provider community.

Geographic Distribution of Properties

Survey respondents own and manage properties across all Chicago neighborhoods and suburban areas, with the highest concentration in North Side neighborhoods including City North, City Northwest, and City West areas.

Chicago Area Approximate Number of Respondents
City North ~150
City Northwest ~120
City South ~90
City West ~70
Suburban West ~60
Suburban North ~55
City Southwest ~40
Suburban Northwest ~30
Suburban Southwest ~25
City Downtown ~20

Turnover and Vacancy Expectations

Anticipated Apartment Turnover Rates

Turnover Rate Range Percentage of Respondents
10%-20% annual turnover ~59%
21%-30% annual turnover ~25%
31%-40% annual turnover ~11%
41%-50% annual turnover ~3%
51%-60% annual turnover ~1%
60%+ annual turnover ~1%

Current Availability of Rental Units

Units Available Percentage of Respondents
No vacant units (fully leased) ~47%
1%-5% of units available ~34%
6%-10% of units available ~11%
11%-25% of units available ~4%
26%-50% of units available ~2%
51%-75% of units available ~1%
Greater than 75% available ~1%

02

Rent Collections

Rent collection rates serve as a critical indicator of housing market stability and tenant financial health. The 2024 survey reveals strong overall collection performance, with significant geographic variation across Chicago neighborhoods.

Overall Collection Performance

Year-to-date collection rates demonstrate robust rent payment patterns across the Chicago rental market, with the majority of housing providers achieving collection rates above 95%.

YTD Collection Rate Percentage of Respondents
Greater than 95% collection rate 68%
91%-95% collection rate 15%
86%-90% collection rate 7%
76%-85% collection rate 4%
0%-75% collection rate 4%
Unknown or not tracked 2%

83% of Chicago housing providers achieve collection rates above 91%: The strong collection performance indicates stable tenant financial conditions and effective property management practices across the majority of Chicago’s rental housing market.

Geographic Variation in Collection Rates

Rent collection performance varies significantly across Chicago’s geographic areas, with suburban and North/Northwest/Downtown areas showing stronger collection rates compared to South and West Side neighborhoods.

Rent Collections by Chicago Region (February 2024)

Collection Rate Suburban Areas South/West Chicago North/Northwest/Downtown
Greater than 95% 69% 52% 72%
91%-95% 17% 19% 15%
86%-90% 6% 14% 7%
76%-85% 4% 7% 1%
0%-75% 2% 7% 3%
Unknown 3% 1% 1%

Geographic Area Definitions:

  • Suburban: Suburban North, Suburban Northwest, Suburban West, Suburban Southwest
  • South/West Chicago: City West, City South, City Southwest
  • North/Northwest/Downtown: City North, City Downtown, City Northwest

03

Vacancy Rates

Vacancy rates reflect market demand and housing availability. The 2024 survey tracked vacant units with no pending lease, providing insight into rental market conditions across different Chicago areas and time periods.

Current Vacancy Status

Vacancy levels remain low across most Chicago housing providers, with nearly half reporting zero vacant units and the majority maintaining vacancy rates below 5%.

Historical Vacancy Trends (2021-2024)

Vacancy Range Jan 2021 Jan 2022 Jan 2023 Jan 2024
No vacant units 33% 47% 36% 47.40%
1%-5% vacant 27% 36% 36% 51.70%
6%-10% vacant 19% 10% 10% 10.90%
11%-25% vacant 16% 5% 0% 4%
26%-50% vacant 4% 4% 0% 1.80%
51%-75% vacant 1% 1% 0% 0.40%
75%+ vacant 0% 2% 0% 2%

99% of respondents report vacancy rates under 5%: The combination of 47.4% reporting zero vacancies and 51.7% in the 1-5% range demonstrates strong demand for rental housing across Chicago’s residential market.

Vacancy Patterns by Geographic Area

Vacancy rates show notable geographic variation, with North/Northwest/Downtown areas experiencing the tightest rental markets.

Reported Vacancy by Region (February 2024)

Vacancy Range Suburban South/West North/Northwest/Downtown
No vacant units 38% 29% 47%
1%-5% vacant 41% 35% 35%
6%-10% vacant 13% 11% 12%
11%-25% vacant 6% 10% 1%
26%-50% vacant 1% 1% 1%
Greater than 75% 0% 1% 2%

04

Fees and Deposits

Fee structures represent an important component of rental housing economics. The 2024 survey examined security deposit practices, move-in fees, and various organizational fees charged throughout tenant leases.

Security Deposits and Move-In Fees

67%
Do Not Charge Security Deposits

75%
Charge Move-In or Administrative Fees

Chicago housing providers favor move-in fees over security deposits: The overwhelming majority (67%) do not require security deposits, instead opting for move-in or administrative fees that streamline the leasing process.

Move-In Fee Amount Distribution

Fee Amount Range Percentage of Respondents
$301-$500 ~53%
$151-$300 ~22%
$501-$750 ~18%
Greater than $750 ~4%
Less than $100 ~3%

Organizational Fee Structure

Housing providers employ various fees throughout tenant leases to cover administrative costs, services, and property-specific amenities. Respondents selected all applicable fees their organizations charge.

Fee Type Percentage Charging This Fee
Late payment fee 83.10%
Application fee 67.10%
Parking fee 55.40%
Key replacement fee 50.60%
Lease renewal fee 45.40%
Storage fee 8.80%
RUBS fee (Ratio Utility Billing System) 8.00%
Internet access fee 7.60%
Legal fee 4.40%
Cleaning fee 4.00%
Trash removal fee 3.60%
Expedited maintenance fee 1.20%
Monthly pet fee 1.20%
Cable fee 0.80%

Late payment fees and application fees are most common: More than 83% of housing providers charge late payment fees, while 67% charge application fees. These administrative fees help cover the costs of tenant screening, lease processing, and managing delinquent payments.

05

“Just Cause” Ordinance

Survey respondents assessed the potential operational and business impacts of Chicago’s “Just Cause” eviction ordinance, which establishes specific requirements for lease non-renewal and eviction proceedings. Respondents could select multiple responses.

Anticipated Operational Changes

Housing providers expect the Just Cause ordinance to drive significant changes in tenant screening standards, documentation practices, and property improvement planning.

Expected Impact or Response Percentage of Respondents
More likely to tighten standards for new tenant screening 73.40%
More likely to document tenant lease violations to support non-renewal 70.10%
More likely to file eviction notices for lease violations and non-payment 56.90%
More likely to defer capital improvements and renovations 29.90%
More likely to defer routine maintenance and repairs 13.90%
No anticipated impact on operations 8.80%

Over 70% anticipate stricter tenant screening and documentation: The Just Cause ordinance is driving housing providers toward more rigorous applicant evaluation and comprehensive lease violation tracking to ensure compliance with non-renewal requirements.

Policy Implications

The survey results suggest that while a small minority expects no operational changes, most Chicago housing providers are adapting their business practices in response to Just Cause ordinance requirements. Nearly 30% indicate they may defer capital improvements, which could have broader implications for housing quality and neighborhood investment patterns.

06

Key Findings

The 2024 NBOA Housing Provider Survey reveals a Chicago rental housing market characterized by strong operational fundamentals but significant geographic disparities. While 68% of providers achieve rent collection rates above 95% and nearly half operate at full occupancy, these headline metrics obscure important regional variations.

Collection rates vary by neighborhood: North/Northwest/Downtown providers achieve 72% collection above 95%, compared to just 52% in South and West Side neighborhoods—a 20-percentage-point gap that reflects broader economic and demographic differences across Chicago.

Small operators dominate the market: Nearly 70% of survey respondents own or manage 100 units or fewer, demonstrating that independent landlords and small property management firms—not large institutional investors—represent the majority of Chicago’s rental housing supply.

Fee structures favor move-in fees over deposits: Two-thirds of housing providers do not charge security deposits, instead utilizing move-in fees (typically $301-$500) to cover administrative and turnover costs. Late payment fees (83%) and application fees (67%) are the most common organizational charges.

Just Cause ordinance drives operational changes: More than 73% of providers expect to tighten tenant screening standards in response to the ordinance, while 70% plan to enhance lease violation documentation. Nearly 30% anticipate deferring capital improvements and renovations.

The survey data presents a rental housing sector that remains operationally stable in aggregate but faces mounting compliance complexity and geographic market fragmentation. Policy interventions that fail to account for these regional variations and the predominance of small-scale operators risk unintended consequences for housing availability and affordability.

Thank you

The Neighborhood Building Owners Alliance (NBOA) represents and advocates on behalf of the following Chicagoland neighborhood building owners associations:

  • Edgewater Uptown Builders Association (EUBA)
  • Greater Austin Development Association (GADA)
  • Lakeview Developers Association (LDA)
  • Latino Real Estate Investors Council (LREIC)
  • Lincoln Park Builders of Chicago (LPBC)
  • Northwest Side Builders Coalition (NSBC)
  • Rogers Park Builders Group (RPBG)
  • South Side Community Investment Association (SSCIA)
  • Southside Builders Association (SSBA)
  • Southwest Housing Providers Group (SWHPG)
  • West Suburban Building Owners Association (WSBOA)

For too long, legislation has been adopted and rules and procedures have been promulgated on the City, County, and State level without the input of neighborhood building owners and developers. As a result, laws have been passed that have proven detrimental and costly not only to building owners and developers, but to building managers, tenants, and society at large.

With the assistance of other real estate organizations, state, county and city government, tenant organizations, affordable housing groups, and other interested parties, the NBOA hopes to make practical and meaningful changes that will better serve all involved in Chicago’s real estate community.

Visit nboachicago.com

Survey Methodology: This survey was conducted in February 2024 in Chicago, Illinois by Essex Realty Group in partnership with the Neighborhood Building Owners Alliance (NBOA). Total responses: 279 housing providers representing properties across all Chicago neighborhoods and surrounding suburbs. Survey topics included rent collection rates, vacancy patterns, property portfolio size, fee structures, and policy impact assessments.