Why Chicago Makes Sense for Real Estate Investors in 2025
If you've been paying attention, Chicago's had a tough few years. But dig into the data—not just headlines—and you’ll see strong signs of stability and growth. Here's why Chicago remains a smart bet for real estate investors who know where to look.
1. People are coming back—and staying
Chicago reversed a decade-long population decline with 22,164 new residents from mid-2023 to mid-2024, a 0.8% growth -- good for the 7th largest population gain among U.S.
That trend isn't just citywide — it reflects renewed interest in living in or moving back to the city. Plus, the overall metropolitan area is growing too. The metro population jumped from 8.984 million in 2024 to 9.042 million in 2025, a 0.65% increase macrotrends.net.
Why it matters: More people = more renters. That directly supports demand for the kind of multifamily properties we’re focused on.
2. Rents are climbing—and staying high
Chicago rents are averaging $2,381/month, which is 37% above the national average of $1,736 . And occupancy rates remain solid. That tells us two things:
People will pay for quality units.
If you can improve a property and keep units full, the returns are solid.
3. Housing supply is still limited
Sure, downtown is getting some new residential units—office buildings being converted, with 1,000+ apartments in the pipeline (including affordable units). But those moves won’t impact supply across most Chicago neighborhoods until late 2025 or later.
That means neighborhoods where we’re focused still face tight supply — and that scarcity keeps rents strong and investment opportunities real.
Final Thought
Chicago might not get as much hype as cities like Austin or Nashville, but it has something even better — real fundamentals. That's what we're betting on. And if you're thinking about investing, now's a good time to talk about how to do it strategically.
