Moving to Chicago? When it comes to finding a home in the Windy City, there are a lot of factors to consider before you decide whether to rent or buy in Chicago. Start by asking yourself these questions:
- How familiar are you with the Chicago area?
- How long do you plan to live in Chicago?
- Do you want to live near the lake?
- Can you afford to buy or rent in your desired Chicago neighborhood?
Now that you’ve thought about these questions, you’re ready to begin your research. Here are the pros and cons of buying vs. renting in Chicago.
Reasons to Buy in Chicago
There are many benefits to purchasing a home, condo, loft, or apartment unit in Chicago! Below are a few reasons why you might consider buying a home or investing in an Airbnb property in Chi-town.
Customize Your Home
While a rented space comes with rules, buying a home in Chicago gives you the freedom to make the space your own through home improvement projects, picking new paint colors, and designing your own landscaping. If you’re tired of living in a place that you can’t customize, buying a property allows you to decide which renovations to do on your personal timeline. With no landlord to set the rules or hold onto your security deposit, you can have the home design of your dreams!
Save Money Long Term
If you live in Chicago and plan to stay there for more than three years, it may be more cost-effective in the long run to purchase a home with a fixed mortgage rate rather than rent. Even then, many homeowners in Chicago are eligible for tax breaks and government assistance to help cut down on costs. The Down Payment Plus (DPP) and Down Payment Plus Advantage programs also offer members of the Federal Home Loan Bank of Chicago down payment and closing cost assistance.
See Better Returns on Investment
In the current market, investing in a Chicago property is more affordable than in other large cities like New York City, resulting in more bang for your buck. Additionally, the Chicago real estate market has proved that since 2012, properties consistently appreciate over time, which means one day you’ll likely sell your home or apartment for more than you purchased it for. Especially if you buy in a neighborhood that’s growing or showing signs of future growth, you’ll see greater returns on your investment in the future.
Earn Equity
If you have a good credit score, buying property in Chicago and consistently paying your mortgage can help you continue building credit. Growing your owned assets and investing in Chicago real estate is a great idea if you can afford the costs of homeownership and have the funds for a down payment. While home appreciation isn’t guaranteed, paying your mortgage promises to increase your credit health. This financial decision also provides Chicago homebuyers with a valuable asset to leverage if they ever need a loan.
Establish Roots
Many Chicagoans have deep pride and love for their city, and buying a more permanent home could facilitate deeper connections with their neighbors and local community. Often, when you rent, where you live feels more temporary. There are also several mental health benefits to establishing yourself in a community, like feeling less isolated, creating a space of comfort, and more.
Best Places to Buy a Home in Chicago
Property ownership in Chicago may look different depending on the neighborhood, with a variety of attached and detached housing options. Below are some of the best neighborhoods to buy a home in Chicago!
| Neighborhood | Hyde Park | Lincoln Park | Lincoln Square | Rogers Park |
| Median Home Price | $351,294 | $702,485 | $502,433 | $248,403 |
| Owner-Occupied Rate | 31.9% | 54.3% | 47.4% | 26.5% |
| Home Appreciation Rate | 23% | 28% | 24% | 21% |
| Safer than % of Boston | 58% | 69% | 82% | 51% |
Hyde Park
- Home Price: $351,294 median purchase price
- Crime Rate: Safer than 58% of Chicago neighborhoods
Hyde Park sits right by Lake Michigan and is near historic sites like the University of Chicago, the DuSable Museum of African American History, and the Museum of Science + Industry Chicago. Residents of this Chicago neighborhood can find a diverse mix of shops, bookstores, coffee shops, and world-class dining that make it one of the best neighborhoods to buy in Chicago. Hyde Park is also one of the most diverse areas in Chicago, meaning you’ll get exposure to a variety of cultures, cuisine and communities. Throughout Hyde Park, you’ll find stunning vintage buildings and treasured architectural gems, like Frank Lloyd Wright’s Robie House. Hyde Park’s abundant green spaces, top-rated schools, and spectacular museums also make it an attractive Chicago neighborhood for families.
Lincoln Park
- Home Price: $702,485 median purchase price
- Crime Rate: Safer than 69% of Chicago neighborhoods
Looking to buy Chicago luxury real estate? Historically desirable neighborhoods like Lincoln Park continue to see home values rise in price and value to this day. This area is a great neighborhood for young professionals in Chicago, with purchasable home options including historical brownstones, modern condos, high-rise apartments, and lofts. With a prime waterfront location, over 1,000 acres of green space to explore at Lincoln (Abraham) Park, the historic and expansive Lincoln Park Zoo, and easy walkability, it’s easy to see why many residents find the higher price tag of Lincoln Park worth it.
Lincoln Square
- Home Price: $502,433 median purchase price
- Crime Rate: Safer than 82% of Chicago neighborhoods
If you’re thinking about relocating to Chicago, consider purchasing in Lincoln Square! You’ll notice Lincoln Square’s strong German cultural roots right away, with the DANK Haus German American Cultural Center, a variety of German restaurants like Himmel’s, and festivals like the Chicago German-American Oktoberfest. Residents enjoy strolling the old-school cobblestone streets and appreciate the mix of housing styles found in the neighborhood, like 20th-century brick constructions, modern condos, and new construction—helping to make this one of the best neighborhoods to buy a home in Chicago. You’ll also have plenty of things to do here, like catching the latest blockbuster at Davis Theater or listening to live shows at the Old Town School of Folk Music.
Rogers Park
- Home Price: $248,403 median purchase price
- Crime Rate: Safer than 51% of Chicago neighborhoods
Want to buy Chicago real estate with access to performing arts centers like the Theatre Above the Law, commercial districts like Jarvis Square, lakefront living, and a diverse culture? Rogers Park offers all of this and is filled with affordable homes like historical bungalows, Victorian houses, and modern condos. This family-friendly neighborhood takes pride in its cultural diversity, with more than 80 languages spoken and ethnically diverse food options like Taste of Peru. You also won’t be bored here, with unique hangout spots like Athena Board Game Cafe and events like the First Friday Music Series.
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Reasons to Rent in Chicago
Renting in Chicago may be the best option for your financial and lifestyle needs. Here are a few reasons why staying in the Chicago rental market could be a smart choice for you!
Get to Know the City
If you’re new to Chicago, getting to know the 200+ neighborhoods can take some time. Renting allows you to explore the residential areas without the massive commitment that comes with buying property. When you live in a big city like Chicago, renting allows you to experience different parts of the city before putting down roots. This will allow you to make a more informed decision about whether Chicago is a place you want to live long term—and if you do, it’ll help you understand which community is the best for you to buy a home in.
Save On Expenses
While you’ll have to put money down for an apartment security deposit, these often cost significantly less than typical down payments—especially in Chicago, where home prices are more expensive than the Illinois average. Renting lets you avoid expenses like homeowners insurance, potential HOA fees, and city-wide property taxes. Renting in Chicago allows you to keep your money more easily accessible and spend it on other essentials. With affordable rent prices in Chicago, you’ll also be able to save money to eventually buy a home later on if you want to!
Don’t Worry About Maintenance
Repairs, renovations, and maintenance all cost money, as well as time. If you prefer to be hands-off when it comes to your home, want more time to explore Chicago’s nightlife, or simply don’t want to worry about the costs of unexpected repairs, continuing to rent instead of buying is a smart option since the responsibilities for these will fall upon your landlord.
Experience Unique Amenities
In many cases, renting an apartment in Chicago allows you to take advantage of amenities you might not have if you owned a house. This could include services you would otherwise pay additional membership fees for. Whether that’s a fitness center, rooftop pool, community garden, convenience store, or package acceptance service, you’re more likely to find cool perks without having to pay individual fees with a rental property.
Reduce Market Risk
If you’re not comfortable assuming the risk of potential depreciation, renting a home in Chicago is your best bet for now! While the hope is that you’ll see a return on your investment when you buy a home, appreciation may not always be guaranteed. Currently, the Chicago housing market is geared toward sellers, with home prices being high, so prospective home buyers might want to wait until the city is more of a buyer’s market with more reasonable upfront costs.
Best Places to Rent a Home in Chicago
Renters in Chicago can find a variety of rental options to choose from, like charming bungalows, greystones, and high-rise apartments. Below are the Chicago neighborhoods you should check out if you’re interested in renting a home!
| Neighborhood | Lake View | Logan Square | Uptown | Wicker Park |
| Median Monthly Rent | $1,744 | $1,336 | $1,116 | $1,690 |
| Renter-Occupied Rate | 54% | 63.1% | 78.9% | 59.8% |
| Safer than % of Chicago | 71% | 60% | 53% | 44% |
Lake View
- Home Price: $1,744 median monthly rent
- Crime Rate: Safer than 71% of Chicago neighborhoods
Home to Wrigley Field and the Chicago Cubs (MLB) and the city’s best LGBTQ scene—previously known as Boystown and recently renamed to Northalsted—Lake View‘s rental options range from studios to 4-bedroom rentals in high-rise buildings. Residents fill their time at entertainment spots like Schubas Tavern and Laugh Factory or immerse themselves in the Belmont Theater District, the largest theater district in Chicago. Residents also take advantage of convenient transportation options like Divvy Bikes and the Brown Line, making it easy to access the rest of Chicago whenever they need to.
Logan Square
- Home Price: $1,336 median monthly rent
- Crime Rate: Safer than 60% of Chicago neighborhoods
Located in northwest Chicago, Logan Square is a great neighborhood known for its stunning tree-lined boulevards, unique greystone buildings, and highly walkable streets. From unique Chicago Street Murals to charming music venues, this neighborhood is perfect for those with an artistic spirit. The town square is marked by the Illinois Centennial Monument, providing a grand focal point for the neighborhood you won’t find anywhere else. Residents have access to great amenities like well-maintained parks, thriving nightlife options, and the Logan Square Farmer’s Market, where they can connect with their community and enjoy local products.
Uptown
- Home Price: $1,116 median monthly rent
- Crime Rate: Safer than 53% of Chicago neighborhoods
Known as an iconic entertainment hub in Chicago, Uptown has something for everyone to enjoy! This northeast Chicago neighborhood has well-known performance venues like the Black Ensemble Theater, Aragon Ballroom, and Riveria Theatre, making Uptown an epicenter for live performances. Chicago foodies can enjoy diverse cuisine options, including Yoo Yee, Fat Cat, and Tweet. Uptown also offers convenient access to outdoor areas like Montrose Beach and the rest of the city, with multiple bus lines and the Red Line at Argyle.
Wicker Park
- Home Price: $1,690 median monthly rent
- Crime Rate: Safer than 44% of Chicago neighborhoods
Filled with a bohemian energy, Wicker Park—part of the larger West Town area—is a cultural epicenter for those seeking new and trendy experiences in Chicago. You’ll find various Chicago housing options for rent here, from restored Victorian architecture to more modern lofts and condos. Spread throughout this hip neighborhood are unique shops, record stores, and attractions you won’t find anywhere else—like the 606, a once-abandoned railway converted to an almost three-mile trail of green space. There are also several highly-rated dining options and fun nightlife options like The Revel Room, Easy Bar, and the rooftop bar at The Robey.
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Whether you plan to rent or buy in Chicago, Extra Space Storage has convenient storage facilities throughout the Windy City that can help with your transition. Find cheap Chicago storage units near you!
The team at Extra Space Storage understand that moving to a new city can be stressful, which is why we’ve created our Best Places to Live selections to help make the process easier. We’ve done the research for you—considering factors like cost of living, job market, local attractions, and education—to provide a well-rounded and accurate view of each metro area. Check out our methodology page today to learn more about how we select the best places to live.
Neighborhood statistics from AreaVibes
