Rent control rules in Peoria, IL β also known as rent stabilization or rent cap ordinances β limit annual rent increases and protect tenants from displacement.
Peoria cannot enact rent control. The Illinois Rent Control Preemption Act (50 ILCS 825/), in effect since 1997, expressly prohibits any unit of local government, including Peoria as a home-rule city, from enacting, maintaining, or enforcing any ordinance that controls the amount of rent charged for private residential or commercial property. Peoria landlords are free to set rents at market rates, and tenant remedies are limited to negotiation, notice rights under 735 ILCS 5/9, and discrimination protections.
Illinois has preempted rent control statewide since 1997 through the Rent Control Preemption Act, codified at 50 ILCS 825/. Section 5 of the Act provides that 'a unit of local government shall not enact, maintain, or enforce an ordinance or resolution that would have the effect of controlling the amount of rent charged for leasing private residential or commercial property.' Section 10 specifically extends that prohibition to home rule units, which under the Illinois Constitution would otherwise have broad regulatory authority. The City of Peoria is a home rule unit, but the Rent Control Preemption Act expressly removes rent control from its toolkit. The single carve-out in the statute is that local governments may continue to manage and control residential property in which the unit of local government itself has a property interest (such as public housing). The Illinois General Assembly has periodically considered bills to repeal or carve back the preemption (including HB 116 in 2025 and earlier sessions), but as of May 2026 the Act remains in force and there is no statewide or Peoria-specific rent cap. Tenants in Peoria are therefore not protected from market-rate rent increases by any local cap. Other tenant protections do apply, including the Illinois Security Deposit Return Act (765 ILCS 710/), the eviction notice rules in 735 ILCS 5/9-201 through 5/9-321, the Illinois Human Rights Act's housing discrimination protections (775 ILCS 5/3-101 et seq.), and federal Fair Housing Act protections under 42 U.S.C. Section 3601 et seq. Source-of-income (Section 8 voucher) discrimination is prohibited statewide under the Illinois Human Rights Act since 2023. Within those general limits, Peoria landlords may raise rent without justification on month-to-month tenancies subject to the 30-day notice rule, and on fixed-term leases at renewal.
Because the Rent Control Preemption Act prohibits Peoria from enacting any local rent control measure, there are no city-level penalties for setting rent at any chosen level. Any attempted local rent-control ordinance would be void on its face and subject to declaratory judgment under 50 ILCS 825/. Tenant remedies for excessive rent are limited to (a) refusing the increase and giving 30-day notice to vacate on month-to-month tenancies under 735 ILCS 5/9-207, (b) negotiating a lease renewal, (c) reporting discriminatory rent-setting to the Illinois Department of Human Rights or HUD where the increase is targeted by a protected class (race, color, national origin, sex, familial status, disability, source of income, etc.), or (d) reporting retaliatory rent increases tied to code complaints to local Code Enforcement (Illinois Retaliatory Eviction Act, 765 ILCS 720/). Local governments that attempt to enforce any rent control measure face civil action by landlords and possible preemption challenge by the Illinois Attorney General.
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