Most buildings in Lakeview maintain strict rental policies to preserve property values and community stability.
The neighborhood has seen a significant shift toward owner-occupancy, though rental units still make up a substantial portion of the housing stock. Condominium buildings typically enforce rental caps, with many limiting the percentage of rental units to between 25-30% of total units.
Short-Term Rental Landscape
As is usual in Chicago, the short-term rental market in Lakeview faces considerable restrictions.
Building Regulations:
- Nearly 99.9% of condo associations prohibit short-term rentals entirely
- Most buildings that do allow rentals require a minimum lease term of 31 days
- Many buildings have registered on the City’s House Share Prohibited Buildings List
City Ordinance Requirements:
- All short-term rental hosts must register with the city before listing properties
- Properties must be the host’s primary residence
- Violations can result in fines ranging from $1,500 to $3,000 per offense
Multi-Unit Building Policies
For multi-unit properties, the regulations are particularly specific:
- Only one Airbnb/short-term rental unit is allowed in 2-4 unit buildings
- Buildings with 5+ units can only have up to 25% of units as short-term rentals
- The host must live in the actual unit being used for short-term rental, not just in the building
Taxation and Licensing
Short-term rentals in Lakeview are subject to:
- 4.5% Hotel Accommodations Tax
- 4% Shared Housing Surcharge
- 2% Domestic Violence Surcharge
- Additional 1% Cook County Hotel Accommodations Tax
Recent Trends
The neighborhood has seen increasing restrictions on short-term rentals, with more buildings joining the prohibited list and stricter enforcement of existing regulations. This trend reflects the community’s preference for stable, long-term residency over transient occupancy.
Sources: Chicago Department of Business Affairs and Consumer Protection, Bigger Pockets Chicago Forum, Best Chicago Properties Blog, Housing Studies DePaul University, Chicago Metropolitan Real Estate, Hosty App Market Analysis.