What is the move in fee law in Illinois 2025?
Asked by: Arlene Stanton | Last update: April 1, 2026Score: 4.8/5 (55 votes)
In 2025, Illinois moved to ban most move-in fees through House Bill 3564, which prohibits landlords from charging application, processing, or other upfront fees, though it still requires Senate approval to become law, while also allowing tenants to reuse recent credit reports to avoid screening fees. The legislation aims to increase transparency, forcing landlords to list all mandatory fees on the first page of a lease, with penalties for non-disclosure, potentially capping fees at 20% of the first month's rent if passed, but it faces ongoing legislative process.
Is it legal to charge a move-in fee in Illinois?
Prohibits a landlord from imposing a move-in fee. Unless provided by law elsewhere, a landlord may not demand any charge for the processing, reviewing, or accepting of an application, or demand any other payment, fee, or charge before or at the beginning of the tenancy.
What are the new rental laws in Illinois 2025?
With this new legislation, landlords can no longer require tenants to pay through electronic methods and must allow tenants to make their rental payments by delivering either a paper check or cash to the landlord. Section 3.5 of the LAT Act will apply to leases or agreements executed after January 1, 2025.
What is the House Bill 3564 in Illinois 2025?
Illinois House Bill 3564
Amends the Landlord and Tenant Act. Adds provisions concerning rental fee transparency by requiring all non-optional fees, regardless of whether they are one-time fees or recurring fees, to be explicitly contained on the first page of a lease agreement.
Is a move-in fee mandatory?
Financial commitments
Move-in fees and security deposits are tied to the start of a lease and are typically required before you receive keys. Whether refundable or not, they both represent financial commitments from the renter to secure the apartment.
Illinois House passes bill banning move-in fees, raising concerns of rent hikes
Do I have to pay my first month's rent?
Yes, you almost always have to pay the first month's rent upfront, typically when you sign the lease, along with a security deposit, to secure the property and cover the initial month's occupancy, with some landlords also asking for the last month's rent in advance. This is standard practice, but the exact amount and timing (first month's rent, security deposit, last month's rent) depend on your lease and local laws, so always check your agreement.
What's the 30% rule for rent?
The 30% rent rule is a common guideline suggesting you spend no more than 30% of your gross monthly income (before taxes) on rent and basic utilities, acting as a starting point for budgeting. While easy to use and adopted by lenders, it's increasingly seen as outdated due to high housing costs, varied financial situations (like debt or high cost-of-living areas), and better modern budgeting tools, meaning it's a helpful benchmark but not a strict rule for everyone.
What is the new law in Illinois 2025?
Effective Aug. 1, 2025, Senate Bill (SB) 220 (Public Act 104-0078) requires Illinois employers with at least 51 employees to provide up to eight hours of paid leave per month, or 40 hours per year, to eligible employees who participate in military funeral honors details.
Is there an application fee for renting in Illinois 2025?
Starting January 1, 2025, a new bill (HB 4778) will come into effect in Illinois, altering the definition of an application fee under the state's Landlord and Tenant Act. Once implemented, landlords will only be allowed to charge a fee that reflects their actual out-of-pocket costs for evaluating an application.
Can you say no to a rent increase?
Yes, you can refuse a rent increase, but it usually means you'll have to move out, as landlords can choose not to renew your lease or accept the old rent, potentially leading to eviction if you don't pay the new rate. Your options are to negotiate, accept the increase, or refuse and move, with legal protections like rent control or proper notice periods varying by location.
Can my landlord raise my rent $300 dollars in Illinois?
There's no limit to how much a landlord can raise rent in IL. Landlords can raise the rent as much as they want unless the property is in a city with rent control. But most cities in Illinois, including Chicago, don't have rent control laws.
Why will 2025 be the worst year yet for landlords and renters?
So, what are my property predictions for 2025? More vacant homes: Driven by over-regulation across the property market. Higher rents: Demand keeps growing and supply is shrinking, which means rents will rise. This will reflect in higher risk for investors.
What are red flags in a lease agreement?
Be wary if the lease allows the landlord to break the lease at will while locking you into strict obligations. A balanced lease should protect both sides equally. If termination rights only work in the landlord's favor, that's a major red flag.
What is a reasonable move-in fee?
Move-in fees typically range from $100 to $500, though they can be as high as 30% to 50% of one month's rent in some high-demand cities or luxury buildings. Landlords often calculate fees as a flat rate rather than a percentage of rent.
Is it legal to charge a 3% credit card fee?
Yes, charging a 3% credit card fee (surcharge) is legal in most U.S. states, but it's complex and depends heavily on state laws and specific card network rules, requiring clear disclosure, a separate line item on receipts, and prohibition on debit/prepaid cards, with certain states like Connecticut, Maine, and Massachusetts banning them. Merchants must ensure the fee doesn't exceed their actual processing cost or a set cap (often 3-4%) and must follow strict disclosure rules.
Why am I being charged a move-in fee?
Move-in fees are non-refundable fees that some landlords charge new tenants to offset the cost of tenant turnover. Adding this fee is up to the landlord's discretion, and the charge is generally for services rendered by the landlord before you move in. This may include a fresh coat of paint or a new key fob.
Did they ban move-in fees in Illinois?
A new bill, passed by the Illinois House in April 2025 prevents landlords from charging new tenants a “move in” fee.
Is a 10% late fee too much?
Whether a $10 late fee is "too much" depends on the context (rent, credit card, etc.) and local laws, but for rent, it's often considered reasonable if it's a small, flat fee or part of a standard 5-10% range, while for smaller bills, $10 might be high; it must be clearly stated in the agreement and be proportional, not punitive.
What will happen to rent in 2025?
In 2025, rent trends showed a mixed but generally stabilizing market, with slowing growth, increased supply easing pressure in some areas, and continued affordability challenges, leading to a renter-friendly environment in many places as new apartment construction met demand, though some forecasts suggested a potential rebound in rents later in the year or into 2026 due to a slowdown in new building starts.
What are the pay laws for 2025 in Illinois?
Beginning January 1, 2025 - Guarantees a minimum wage of $15.00 per hour for workers 18 years of age and older. An employer where gratuities are paid to employee, may pay 60% of the minimum wage to its employees.
What laws are going to change in 2025?
California has several laws set to take effect on January 1, 2025, including laws expanding protections against unlawful discrimination; prohibiting mandatory workplace meetings to discuss political or religious matters, including union organizing; and allowing employers to obtain temporary restraining orders (TROs) ...
What is the new 7-day law in Illinois?
The "new" 7-day law in Illinois refers to recent amendments to the One Day Rest in Seven Act (ODRISA), primarily effective January 1, 2023, with further anti-retaliation changes in March 2025, which mandate at least 24 consecutive hours of rest in every consecutive seven-day period (not just calendar weeks), require additional meal breaks for long shifts, increase penalties for violations, and prohibit employer retaliation against employees for exercising these rights.
Can I afford $1000 rent making $20 an hour?
Making $20/hour (about $3,467/month gross), $1,000 rent is affordable by the traditional 30% rule (it's about 29%), but it depends heavily on your other expenses like debt, car payments, and savings goals; using the 50/30/20 budget (50% needs, 30% wants, 20% savings) provides a more realistic picture, as $1,000 rent might strain your "needs" category if you have high other costs, making it tight but potentially manageable in lower cost-of-living areas.
How much should I spend on rent if I make $70,000 a year?
If your gross annual income was $70,000, then your target number would be $21,000 for the year. Divide that by 12 and you'll find that you should be spending no more than $1,750 per month on rent and utilities using the 30% rule.
What salary do I need to afford $3,000 rent?
To afford $3,000 in rent, you generally need a gross annual income of $120,000, based on the common 30% rule (rent is 30% of income) or the 40x rule (income is 40x the monthly rent). This means a monthly gross income of around $10,000, but it can vary depending on other debts, location, and personal budgeting, with some recommending a higher income for more comfort.