A tool to help tenants stay in their homes
What is Rent Stabilization?
Rent stabilization is a form of regulating rent prices, also known as rent control. A rent stabilization policy works by setting parameters for how quickly rents can be increased on an annual basis, while protecting a fair return on investment to landlords.
Why rent stabilization matters.
Housing costs continue to grow faster than people’s incomes, both locally in the Chicago region and across the United States overall. This imbalance leads to greater displacement and housing instability. Many grassroots leaders and residents are calling for rent regulation policies as part of a solution, while many industry leaders caution against potential adverse impacts. Meanwhile, Illinois legislature passed a preemption on any regulation of rents in the 1980s, prohibiting local cities and towns from doing anything to regulate rapid rent increases.
As the need for stronger, bolder government action to promote housing stability becomes more and more clear, we at the Metropolitan Planning Council decided to dig into rent stabilization to be understand the basics of the policy and the merits behind talking points on both sides of the issue.