What It Costs To Lease And Manage A West Town Rental

What will it really cost to lease and manage your West Town rental this year? If you own a condo or small multi-unit, you want clear numbers before you hire a manager or DIY the process. You also want to avoid costly surprises tied to Chicago rules and older building systems. In this guide, you’ll see typical fees, realistic operating costs, Chicago-specific factors, and sample budgets for West Town units so you can plan with confidence. Let’s dive in.

West Town cost drivers

West Town is a high-demand, centrally located Chicago neighborhood. Rents trend above the city median with wide ranges by unit size. Typical ranges include:

• Studio: about $1,400–$2,000
• 1-bedroom: about $1,800–$2,600
• 2-bedroom: about $2,300–$3,500

Lower vacancy helps shorten time on market, but it also raises the bar for presentation. Tenants often expect in-unit laundry and updated kitchens or baths. Much of the housing stock is vintage, which can increase maintenance and compliance needs over time.

Typical Chicago management fees

Property management firms package services differently. Use these ranges as a baseline when you compare proposals in West Town.

Ongoing management fee

• 6%–12% of monthly collected rent is common, with many full-service arrangements in the 8%–10% range.
• Inclusions often cover rent collection, routine maintenance coordination, 24/7 emergency handling, tenant communications, monthly statements, and periodic inspections.

Leasing or tenant placement

• Either 50%–100% of one month’s rent or a flat fee of $300–$800.
• Typical inclusions: marketing and listing, showings, screening, application processing, lease prep and execution, and a move-in inspection.

Lease renewal

• Either $100–$400 or 25%–50% of one month’s rent, depending on the firm’s policy.

Advertising and marketing extras

• Some managers include photos and listings in the leasing fee. If not, expect $50–$250 for premium placement or add-ons like virtual tours.

Maintenance handling and markups

• Owner approval caps for non-emergencies usually fall between $200–$500.
• Some managers add a 10%–20% markup or dispatch fee to vendor invoices. Others bill at net cost.
• After-hours emergencies often come with higher labor rates charged by vendors.

Eviction coordination and legal

• Managers usually charge an admin fee of $150–$500 to coordinate, plus attorney and court fees paid to third parties.
• Lost rent and timing are the largest eviction costs. Have a reserve for contingencies.

Miscellaneous line items

• Common small charges include move-out inspections, key replacement, owner statements, and payment processing fees. These usually range from $25–$150 each.

One-time leasing and turnover costs

Getting a unit rent-ready and marketed well is essential in a competitive neighborhood like West Town. Budget for:

Pre-leasing and marketing

• Professional photos: $100–$350
• Floor plans or virtual tours: $50–$200
• Minor staging or decluttering: $0–$300
• Paid featured listings: $50–$200+

Tenant screening

• Screening typically costs $25–$60 per applicant. In many cases, applicants pay this fee; if you absorb it, plan for several applications.

Turnover and move-in prep

• Light turn (cleaning, touch-ups): $500–$1,500 for smaller units
• Moderate turn (repaint, deeper repairs): $1,200–$3,000 for 1–2 BR
• Major rehab (flooring, kitchen/bath refresh, appliances): $3,000–$12,000+

For older West Town buildings, set aside a turnover reserve of $1,500–$3,000 per unit or 5%–10% of annual rent. Another practical approach is saving $100–$300 per unit monthly to smooth costs.

Ongoing maintenance and annual budgeting

Older urban properties tend to need steady, proactive maintenance. A sensible working range is $600–$1,800 per unit per year for routine items like plumbing, heating, appliances, and minor carpentry. Monthly, that equates to about $50–$150 per unit.

Preventative work matters. Filters, smoke detector checks, and seasonal system checks help reduce emergencies, which are almost always more expensive. Ask any manager you consider how they schedule preventative tasks and how they communicate findings to you.

Chicago rules that affect cost

Compliance is part of your total cost of ownership in West Town. Build these into your plan so you avoid fines or rework.

Rental registration and inspections

Multi-unit properties in Chicago are subject to registration and periodic inspections. Registration fees, responding to correction orders, and addressing violations can add material cost.

RLTO requirements

The City of Chicago’s Residential Landlord and Tenant Ordinance (RLTO) governs key processes like notice timelines, repair obligations, and security deposit handling. The RLTO raises the importance of documented procedures and on-time administration.

Lead paint rules

If your building was constructed before 1978, federal law requires lead-based paint disclosures and specific work practices for renovations that disturb painted surfaces. Lead-safe protocols can increase time and labor costs.

Eviction process and timelines

Chicago procedures and tenant protections affect required notices and documentation. Legal costs and delays can be higher than in other places, so align with a manager who coordinates closely with local counsel when needed.

Taxes and assessments

Property taxes in Cook County and any special assessments affect your net returns. These do not appear in management fee quotes but must be part of your cash flow planning.

First-year cost examples

Use these illustrations as starting points. Actual costs vary by unit condition, rent level, and your vendor choices.

1-bedroom example at $2,200/month

• Leasing fee (100% of one month): $2,200
• Management fee at 8%: $176/month, about $2,112/year
• Photos/marketing: about $150
• Light turn: about $1,200
• Maintenance reserve: about $1,800 for the year
• Contingency for legal or unexpected items: $500–$2,000

Approximate first-year outlay tied to leasing and management, excluding mortgage, taxes, insurance, and major capital projects: roughly $5,500–$8,000.

2-bedroom example at $2,900/month

• Leasing fee (100% of one month): $2,900
• Management fee at 8%: $232/month, about $2,784/year
• Photos/marketing: about $200
• Moderate turn: about $2,500
• Maintenance reserve: about $2,400 for the year
• Contingency: $1,000–$3,000

Approximate first-year total: $9,000–$12,000+.

If your manager uses a lower leasing fee or a flat model, your totals adjust down. If applicants cover screening fees, your out-of-pocket for that line drops. Always compare the full picture of first-year cash needs, not just a headline percentage.

What drives totals up or down

• Building age and systems. Vintage walk-ups often need more ongoing maintenance and compliance work.
• Finish level and tenant expectations. Modernized kitchens, baths, and in-unit laundry help marketing, but updates cost more during turns.
• Seasonal timing. Demand peaks can shorten vacancies, but contractor pricing and scheduling may tighten during busy months.
• Vendor pricing and markups. A 10%–20% markup or higher emergency labor rate changes your bottom line. Ask for sample invoices.
• Approval caps and process speed. Clear repair approval thresholds help managers respond quickly, which prevents small issues from becoming big ones.

How to compare management proposals

Ask for each item in writing and line them up side by side. A simple checklist helps you avoid hidden costs.

• Monthly management fee and what it includes: rent collection, accounting, inspections, tenant communications, emergency response, and eviction coordination.
• Leasing fee structure: percent vs flat, photos, showings, lockbox, online ads, and whether staging or virtual tours are included.
• Lease renewal cost: flat fee vs percent and whether a renewal discount applies for in-place tenants.
• Maintenance policy: owner approval cap, vendor markup percentage, after-hours rates, and standard response times.
• Marketing plan: listing sites used, featured placements, photo quality, and whether paid boosts are extra.
• Screening process: credit, background, income verification, denial criteria, and who pays the screening fee.
• Eviction coordination: in-house vs outside counsel, expected legal costs, and typical timelines.
• Turnover process: sample invoices for recent turns and a scope checklist.
• Reporting: sample monthly owner statements and whether there is an owner portal.
• Start-up or onboarding fees: any setup charges and takeover steps for occupied units.
• References and contract terms: current client references and termination clauses, including notice and early termination fees.

When professional management makes sense

Consider a manager if you are out-of-market, balancing a demanding job, or overseeing an older property that needs steady attention. Professional oversight often shortens vacancy, reduces emergency costs through preventative work, and improves documentation for compliance with Chicago rules. If you plan to hold the asset long term, consistent processes and vendor relationships can improve your unit’s performance year over year.

How TGI Realty supports West Town landlords

You deserve a partner who can lease well, manage day to day, and keep you current on Chicago requirements. As a family-owned, boutique brokerage with hands-on property management, TGI Realty pairs decades of local experience with modern, full-service operations. The team manages 30+ residential and commercial units across Chicagoland and supports investors through acquisition, leasing, management, and eventual sale when the time is right.

If you own a West Town unit or small building, we can help you budget, set an approval cap that fits your goals, and present a clear, itemized proposal so you know your true first-year costs. Ready to compare options or request a proposal? Connect with TGI Realty for a straightforward conversation.

FAQs

What are typical West Town management fees?

• Many Chicago managers charge 6%–12% of collected rent monthly, with 8%–10% common for full-service arrangements.

How much is a leasing or placement fee in Chicago?

• Expect either 50%–100% of one month’s rent or a flat fee of $300–$800, usually including marketing, showings, screening, and lease preparation.

How much should I budget for maintenance on an older unit?

• A practical range is $600–$1,800 per unit per year, or about $50–$150 per month, with a separate turnover reserve of $1,500–$3,000 per unit.

What Chicago rules add cost for landlords?

• Rental registration, RLTO compliance, lead-paint rules for pre-1978 buildings, and eviction procedures can add admin, legal, and repair costs.

What does a typical turnover cost in West Town?

• Light turns often run $500–$1,500, moderate turns $1,200–$3,000, and larger refreshes $3,000–$12,000+ depending on scope and unit size.

How do I compare two management proposals fairly?

• Line up the monthly fee, leasing and renewal fees, approval caps, vendor markups, emergency rates, marketing inclusions, screening process, reporting, and termination terms side by side.