Here’s some good news for renters: Chicago rents dropped 9% year over year, making 2025 one of the most promising times in recent years to find an apartment in the city. While ultimately the Windy City’s affordability depends on where you live and what you earn, the city’s falling rents and steady wages mean Chicago is a relatively affordable option for renters.
In this guide, we’ll break down exactly how affordable Chicago is in 2025, using Zumper’s proprietary rent research and neighborhood-level data. You’ll learn:
- Current rent prices and how they compare to national averages
- The income needed to rent comfortably
- The city’s most and least expensive neighborhoods
- When to start your search for the best deals
Let’s dive into what Chicago’s affordability really looks like this year.
How much does it cost to rent in Chicago?
Quick Answer: The median rent in Chicago is $2,095 per month, with one-bedrooms averaging $2,020 and two-bedrooms at $2,410.
According to Zumper’s rental data from October 2025, Chicago rents are roughly 33% higher than the U.S. average of $1,517 for a one-bedroom and 27% higher than the national $1,894 for a two-bedroom.
But there’s a silver lining: rents fell 9% for one-bedrooms and 10.4% for two-bedrooms over the past year. Zumper’s analysis shows this is one of the sharpest declines among major U.S. metros, signaling a clear renters’ market in 2025.
Compared to nearby Midwest cities, Chicago remains pricier but more dynamic:
- Milwaukee: $1,295
- Minneapolis: $1,495
- Madison: $1,790
You’re paying a premium for Chicago’s job density, transit, and cultural life — from lakefront trails to Michelin-starred restaurants. For renters seeking both opportunity and amenities, Chicago’s balance of urban perks and falling prices makes it an appealing (and suddenly more affordable) bet.
What income do you need to afford Chicago?
Quick Answer: You need to earn approximately $83,800 annually to comfortably afford Chicago’s median rent using the 30% rule.
That equates to about an income of $6,983/month to afford an apartment with the median rent ($2,095) in Chicago without over-stretching your budget. Again, this is based on the 30% rule, which recommends that a renter spend no more than 30% of their gross (pre-tax) income on rent. According to the U.S. Census Bureau, the city’s median household income is $80,613, which means the typical household falls slightly below the ideal affordability threshold—but not by much.
In reality, affordability depends on your profession. According to the Bureau of Labor Statistics data for Chicago:
- Management roles average $70.19/hour (~$146K annually) — very comfortable
- Office and administrative support average $25.21/hour (~$52K) — more manageable in affordable neighborhoods or with a roommate
The average Chicago wage of $34.42/hour exceeds the U.S. average of $32.66, giving renters slightly more breathing room. (Use the MIT Living Wage Calculator for the Chicago metro to see how your salary stacks up against city costs.)
Bottom line: your salary doesn’t decide whether you can live in Chicago. It helps you target the right neighborhood. Higher earners can enjoy central convenience at a premium, while mid-income renters can find great value across the South and West Sides. Use Zumper’s rent calculator to help you identify a personalized rental budget recommendation and find apartments in your range.
What are the most affordable neighborhoods in Chicago?
These Chicago neighborhoods offer rents well below the city median, according to Zumper’s neighborhood analysis:
- Avalon Park – $1,175/month (roughly 44% below city median)
- Chatham – $1,183/month
- Chicago Lawn – $1,250/month
- South Chicago – $1,275/month
These South Side neighborhoods are about $820-920 less than the city median, which can translate to annual savings of $9,800–11,000.
Beyond rent savings, these areas offer strong community ties, growing restaurant scenes, and direct transit to the Loop via Metra or CTA. Walk Score rates many of them as “Somewhat Walkable,” but they are improving, particularly near major bus lines and new development corridors.
The City of Chicago Open Data Portal and Block Club Chicago both highlight steady investment in South Side business corridors and green-space improvements. That makes these affordable pockets worth watching for long-term renters.
Money-saving insight: Renting in Chatham instead of River North could save you $23,000 per year. Explore each area on Zumper: Avalon Park, Chatham, Chicago Lawn, and South Chicago.
What are Chicago’s most expensive neighborhoods?
If convenience and culture top your list, these are Chicago’s priciest areas according to Zumper data:
- River North – $3,097/month (~48% above city median)
- Near North Side – $2,915/month
- Near West Side – $2,825/month
- Loop – $2,791/month
These downtown neighborhoods command high rents for a reason: They offer walk-to-work commutes, nightlife, and proximity to Chicago’s top employers. Still, it’s worth considering the trade-offs. Owning a car in the city can easily cost $500 or more per month (including parking, gas, and insurance). In contrast, a CTA unlimited pass costs $75–135/month depending on service level (Regional Transportation Authority). Choosing a central location may offset higher rent through savings in time and transportation.
For professionals prioritizing career proximity, these luxury neighborhoods deliver unmatched access, but Chicago’s expanding transit network ensures you don’t have to live downtown to experience city life.
You can see more neighborhoods and compare their rent prices on Zumper’s Chicago rent research page.
When is the best time to find affordable rentals in Chicago?
Quick Answer: February is the most affordable month to rent in Chicago, when average rents fall 3.1% below the yearly average.
Timing can make or break your budget. Zumper’s seasonal data reveals clear patterns:
- February is the most affordable month, when rents drop about 3.1% below the yearly average
- June brings peak pricing at 3.3% above the annual norm
- Least competition: November, when many leases turn over quietly
- Most competition: July, when graduates and relocations flood the market
Renting in late winter could save you $135/month ($1,620 annually) compared to summer moves.
💡 Pro tip: Set up Zumper alerts in January so you’re first to catch February deals before listings disappear.
How does Chicago compare to other cities?
Quick Answer: Chicago rents are 38-62% higher than nearby Midwest cities like Milwaukee, Minneapolis, and Madison, but offer significantly more job opportunities and amenities.
Chicago’s rental prices sit firmly between affordable Midwest metros and the country’s most expensive coasts.
- Milwaukee: $1,295 (38% cheaper than Chicago)
- Minneapolis: $1,495 (29% cheaper)
- Madison: $1,790 (15% cheaper)
Despite its higher rents, Chicago’s economic opportunity is considerably higher as well. According to the Bureau of Labor Statistics, the greater Chicago metro area supports 4.8 million jobs. As of 2023-2024, the U.S. Census Bureau reported a population gain of 22,164 residents, making Chicago the 7th-largest for growth among U.S. cities.
In short, Chicago costs more than its regional peers, but you get more (jobs, culture, and transit) access that smaller metros can’t match. For renters balancing career goals and cost, this approach is a compelling middle ground.
Is Chicago affordable compared to the cost of living?
Quick Answer: Chicago’s overall cost of living is 15.1% above the national average, but utilities are actually 3.3% cheaper, and free city amenities help offset other costs.
Affordability isn’t just about rent—it’s about everything else that costs money in a metro, too. According to C2ER Cost of Living Index data, Chicago’s overall cost of living is 15.1% above the national average, but let’s break down expense categories for a more detailed understanding:
- Groceries: +3.9%
- Transportation: +7.3% (kept reasonable by CTA access)
- Utilities: –3.3% below the national average
- Health: +7.9%
Free resources like the Chicago Park District’s 600+ parks, public beaches, and museums with no-cost days make city life manageable even for budget-minded renters (Choose Chicago).
In Chicago, access to public transit, cultural institutions, and affordable recreation options helps keep overall costs in check.
So in conclusion…is Chicago affordable?
Ultimately, Chicago’s affordability in 2025 depends on three factors: where you live, what you earn, and when you rent.
With rents down 9%, careful timing, and strategic neighborhood choices, the city is becoming more accessible across income levels. The strong job market and high wages offset elevated costs, while affordable neighborhoods — from Avalon Park to South Chicago — open the door for diverse renters to call the city home.
Ready to find your perfect Chicago apartment? Browse Zumper’s Chicago listings and use the rent affordability calculator to pinpoint your budget.
With prices trending downward and opportunities rising, 2025 might be your best year yet to make Chicago home.
Frequently Asked Questions
Q: Is Chicago affordable for renters in 2025?
A: Yes, Chicago has become more affordable with rents dropping 9% year-over-year. While rents remain 27-33% higher than national averages, strategic neighborhood choices and timing can make the city accessible across income levels.
Q: What is the cheapest neighborhood to rent in Chicago?
A: Avalon Park is currently the most affordable at $1,175/month, followed by Chatham ($1,183), Chicago Lawn ($1,250), and South Chicago ($1,275).
Q: When is the best time to rent in Chicago?
A: February offers the lowest rents at approximately $2,050/month, while June sees peak pricing. Searching in late winter can save you up to $1,620 annually.
Q: How much do I need to earn to live comfortably in Chicago?
A: Following the 30% rent rule, you’d need approximately $83,800 annually to afford Chicago’s median rent comfortably. However, affordable neighborhoods allow for comfortable living at lower income levels.
Q: Is it cheaper to rent in Chicago or buy a home?
A: For most young professionals, renting remains more financially flexible in 2025. With Chicago home prices significantly higher than rent costs and the rental market favoring tenants, renting allows you to save for a down payment while exploring different neighborhoods before committing to a purchase.
Q: What utilities and additional costs should I budget for in Chicago?
A: Good news—Chicago utilities run 3.3% below the national average. Budget approximately $100-150/month for utilities in a one-bedroom apartment. Add $75-135/month for a CTA transit pass if you’re going car-free, which most downtown and near-transit residents do.
Q: Are Chicago rent prices expected to keep falling in 2025?
A: Based on Zumper’s current trends showing 9-10% year-over-year declines and seasonal patterns, the rental market is trending favorably for renters. However, individual neighborhood prices vary—downtown luxury areas remain stable while South and West Side neighborhoods show the most significant rent reductions.
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