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Mount Prospect, IL Rental Property Rules: Rental Registration (2026)

Significant Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

License required for
Any rental unit or rental structure, vacant or not
License due date
On or before August 31, expiring August 31 next after issue
Fee (Appendix A)
$75.00 single-family or condo; $40.00 per unit multi-family
Late renewal
Fee increased fifty percent (50%) after September 1
Ownership change notice
Written notice to code official within fifteen (15) days
Fine range
$200.00 to $1,500.00 per offense, per day

Summary

The Village of Mount Prospect makes it unlawful to operate, maintain or offer to rent any rental unit or rental structure, vacant or not, without a residential operator's license. Licenses are due on or before August 31 and expire the next August 31, and a renewal received after September 1 costs fifty percent (50%) more.

A. License Required: ... 1. It is unlawful for any person to operate, maintain or offer to rent for residential purposes within the Village, a rental unit or rental structure, whether vacant or not, without first obtaining a residential operator's license as provided in this article. The license shall be issued only to an "inspection group", as defined in this article. ... 2. All licenses shall be due and payable on or before August 31, and the respective licenses shall expire on August 31 next after the date of issue. 3. Each license application shall be accompanied by a fee as set forth in appendix A, division II of this code. If an application for a renewal of an existing license is received after September 1, the fee shall be increased by fifty percent (50%). ... ... 4. Whenever there is a change in the ownership of a rental structure or a change in the owner's property manager, the owners shall, within fifteen (15) days of such change, file a written notice with the code official indicating such change.

Full Breakdown

Section 23.1815 of the Mount Prospect Village Code is the registration gate for rental housing in the Village. Paragraph A makes it unlawful for any person to operate, maintain or offer to rent for residential purposes a rental unit or rental structure, whether vacant or not, without first obtaining a residential operator's license. The license is issued only to an inspection group, which the article defines as that portion of a building or those buildings within an apartment complex under the same legal or beneficial ownership. The duty also runs to tenants: it is unlawful to enter into a residential lease, as lessor or lessee, if the premises is posted as unlicensed or as having a revoked or suspended license, and it is unlawful to occupy, renew a lease for, offer for rent or permit occupancy of an unlicensed dwelling unit.

The application goes to the code official in writing. It must state the full legal name, address and telephone numbers of every legal and beneficial owner, the address of the rental structure, the number of dwelling units, and the name, address and phone number of any designated property manager. Renewal follows the same process, marked as a renewal.

The calendar is fixed. All licenses are due and payable on or before August 31 and expire on August 31 next after the date of issue. The fee is set in Appendix A: $75.00 for a single-family structure or condominium unit and $40.00 per unit for a multi-family structure. A renewal received after September 1 carries a fifty percent (50%) increase, while an applicant certified as a residential operator for the new licensing period gets a ten percent (10%) decrease for the inspection group the certification covers. Owners must notify the code official in writing within fifteen (15) days of any change in ownership or in the owner's property manager.

Operating without a license also triggers § 23.1820: no existing lease can be renewed and no new lease entered into for any unit in the structure, and the Village posts notice on all entrances.

Violations & Fines

Violating the licensing requirement in § 23.1815 A is listed as a violation in § 23.1821. Section 23.1822 sets a fine, and Appendix A prints not less than $200.00 nor more than $1,500.00 for each offense, with a separate offense on each day the violation continues. The Village can also seek an injunction, a receiver, or a lien on the property.

Frequently Asked Questions

Does a single-family rental need a license in Mount Prospect?
Yes. Section 23.1815 A applies to any rental unit or rental structure. Appendix A lists a $75.00 application fee for a single-family structure or condominium unit, and a $40.00 per unit fee for a multi-family structure. The application goes to the code official in writing.
When does the Mount Prospect rental license expire?
On August 31 next after the date of issue. All licenses are due and payable on or before August 31. A renewal received after September 1 has its fee increased by fifty percent (50%), so the Village calendar leaves no grace period after the September 1 date.
What happens if a landlord sells or changes property managers?
The owners must file a written notice with the code official within fifteen (15) days of a change in the ownership of the rental structure or a change in the owner's property manager. The application also requires the property manager's name, address and phone number when one has been designated.
Can a tenant sign a lease for an unlicensed unit?
Section 23.1815 A makes it unlawful to enter into a residential lease, as lessor or lessee, if the premises is posted as unlicensed or as having a revoked or suspended license. It is also unlawful to occupy, renew a lease, or permit occupancy of an unlicensed dwelling unit.

Sources & Official References

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