By 2022, it’s expected that at least 10,000 new apartments will be available for rent in Downtown Chicago. But despite this, prospective renters should not expect prices to drop.
In fact, experts expect annual rent increases of 2% to 3%. Why?
Because developers need to keep rents high enough to help offset expected property tax increases without driving renters away. Those taxes are passed on indirectly to tenants.
In 2021, new property assessments are coming to the city. That could push up property taxes to an estimated $5,000 to $6,000 per unit. Just a few years ago, developers were figuring in $3,500 in per unit in taxes on new projects. Therefore, rents will go up as well.
So much for the law of supply and demand!
Read on HERE
Mr. Willig engages and coordinates a professional team of real estate brokers, general contractors, leasing agents, and property managers in order to rehabilitate, lease and maintain the properties he acquires for SpringView Investments. He has over 20 years of finance and accounting experience.