Illinois Bans Local Rent Control

The Rent Control Preemption Act, 50 ILCS 825, was enacted in 1997 and 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." The Act separately states that a home rule unit may not regulate or control the amount of rent charged, expressly limiting home rule powers under the Illinois Constitution. The only carve-out preserves a local government's right to manage residential property in which it has a property interest. Because of this preemption, no Illinois city, including Chicago, has enforceable rent control, and there is no statewide rent cap or rent-stabilization scheme. Rent increases are governed only by the lease and applicable notice requirements, not by any percentage limit.

Any local ordinance attempting to control private rents is preempted and unenforceable under 50 ILCS 825; courts would strike it down. There is no penalty schedule for rent increases themselves, since Illinois sets no cap; landlords need only honor the lease terms and give the required advance notice before raising rent.