As a prospective renter in Chicago, you may have noticed a variety of promotions and special offers available to you during your apartment search recently. This is because there are more apartments available right now than there are renters looking for apartments. In order to remain competitive, landlords and property managers are offering big incentives for you to rent from them instead of their competitors. In Chicago’s apartment rental industry, these are referred to as rent concessions.
A rent concession is an incentive the property manager or landlord offers in order to attract and/or retain tenants. While there are many forms of rent concessions in Chicago, the most common of which are listed below:
- Free Month(s) of Rent – Taken as a one-time, bulk discount on a given month or month(s)
- Free Month(s) of Rent – Taken as a discount in the form of prorated monthly rent (“Net Rent”). This situation confuses many renters. The best way to think about it is that the landlord is offering you a credit equal to the free month(s) of rent, which you can distribute across the term of the lease evenly. For example, gross rent is $2400/month with 1 month free ($2400 credit) on a 12 month lease. $2400 divided by 12 = $200 monthly credit. When taking the credit evenly throughout a 12 month lease, your NET rent will equal $2200/month, even though your lease will read $2400.
- Waived Move-in or Admin Fees
- Waived Pet Fees
It is important to note that not all rent concessions are created equal, and you should determine the concession that works best for you and your situation. Remember to always review the lease terms before signing. Consult with one of our leasing experts to ensure you understand what concessions are available to you!
To find an apartment that offers the best rent concessions, give us a call at 773.404.9900.