Living in Chicago offers access to world-class dining, culture, parks, and lakefront views—but like any major city, it’s important to plan your budget wisely. From monthly rent to everyday essentials, creating a realistic financial plan can help you enjoy everything the city has to offer without added stress.
Whether you’re renting for the first time or considering a move to a new neighborhood, this guide breaks down how to budget effectively for rent and living expenses in Chicago—and how to find a great apartment that fits your lifestyle.
Understand the 30% Rule (and When to Adjust It)
A common guideline for budgeting rent is to spend no more than 30% of your gross monthly income on housing. For example, if you earn $7,500 a month before taxes, aim to spend around $2,250 on rent. That said, personal financial priorities vary. If you don’t own a car or dine out often, you may feel comfortable spending a bit more. On the other hand, if you’re saving aggressively or have student loans, you might opt to spend less on housing to free up cash flow.
Chicago’s rental prices vary by neighborhood. Luxury buildings in River North and Gold Coast often come with premium amenities, while Lincoln Park and Lakeview offer a mix of mid-rise buildings, walk-ups, and courtyard apartments at a range of price points.
Factor in Additional Housing Costs
Rent is just one part of the monthly expense picture. Don’t forget to include other housing-related costs in your budget, such as:
- Utilities: Electricity, gas, water, and internet. Some buildings include one or more of these in the rent.
- Renter’s Insurance: Typically required and very affordable—often under $30/month.
- Laundry and Parking: On-site laundry fees or off-street parking charges may apply, depending on the building.
- Pet Fees: If you have a pet, check for monthly pet rent or one-time deposits.
When comparing apartments, make sure to ask what’s included so you can get an accurate view of your monthly housing cost.
Plan for Everyday Living Expenses
In addition to rent, your monthly budget should include common cost-of-living categories:
- Groceries: On average, expect to spend between $250–$400 per person monthly, depending on dietary habits.
- Transportation: Chicago has a strong public transit system. A 30-day unlimited CTA pass costs $75. If you drive, budget for gas, insurance, and possible parking fees.
- Dining and Entertainment: Whether it’s trying new restaurants in River North or catching a show in Lakeview, allocate a portion of your budget for leisure activities.
- Fitness and Wellness: Gym memberships, yoga classes, or fitness apps may also be a part of your monthly routine. Some apartment buildings offer on-site fitness centers, which can help save on external memberships.
Use Budgeting Tools to Stay on Track
Apps like Mint, YNAB (You Need a Budget), or EveryDollar can help you monitor spending, set goals, and adjust in real time. Tracking your expenses for a month or two can highlight areas to cut back or adjust before committing to a lease.
Choose a Neighborhood That Matches Your Lifestyle and Budget
Each Chicago neighborhood offers a unique experience—and rental prices can reflect that. Here’s a quick breakdown of PPM’s featured neighborhoods and what to consider:
- Gold Coast: Known for upscale living, designer boutiques, and access to the lakefront. Rent here typically reflects its prime location and historic charm.
- River North: Filled with art galleries, top-rated restaurants, and nightlife. Ideal for renters looking to be in the heart of the city’s creative and cultural energy.
- Lincoln Park: Offers a great blend of green space, dining, and walkability. It’s perfect for those looking for a more relaxed pace within city limits.
- Lakeview: A lively, engaging neighborhood with lakefront access, sports venues, and local shopping. Great for renters who want variety and vibrancy at moderate rental rates.
Rent Confidently with PPM Apartments
Once you’ve mapped out your monthly budget and selected your ideal neighborhood, the next step is finding a home that supports your lifestyle. PPM Apartments offers a wide range of studio, one-bedroom, two-bedroom, and three-bedroom apartments in Gold Coast, River North, Lincoln Park, and Lakeview. With modern amenities, responsive maintenance, and prime locations near public transit, restaurants, shops, and the lakefront, PPM helps you make the most of life in Chicago. Start browsing available apartments today and find the right fit for your financial plan and lifestyle goals.
