Done being a landlord in Chicago? Tenants can stay.
We buy single-family rentals, two-flats, three-flats and small apartment buildings across Chicago and Cook County as-is, with current leases and tenants in place, and close on the date you choose.
Get an offer on your rental
No obligation. We never sell your info. Prefer to talk? Call or text (773) 825-9855.
Selling a rental with tenants in Chicago and Cook County
Plenty of landlords reach a point where the rent no longer feels worth the late-night calls, the turnovers and the repair bills. You don’t need a problem tenant to want out. Selling a rental is different from selling the home you live in, because the leases, the security deposits and local tenant law all come with the building.
- Pull together your rent roll.
List each unit with the lease dates, monthly rent, security deposit held and any prepaid rent. Buyers price a rental largely on these numbers, and the title company needs them for closing.
- Decide occupied or vacant.
In Illinois, a sale does not usually end an existing lease. The new owner steps in as landlord on the same terms. If you want to deliver the building empty, you wait for leases to end and give proper notice. In Chicago, notice that you won’t renew is 30 days for a tenant there up to six months, 60 days for six months to three years, and 120 days for more than three years.
- Transfer deposits and interest.
Under Chicago’s Residential Landlord and Tenant Ordinance (RLTO), you stay liable for each security deposit, with interest, until you transfer it to the new owner and notify the tenant in writing within 10 days, giving the new owner’s name, business address and phone number. The new owner must also notify tenants within 14 days.
- Check which ordinance applies.
Most of suburban Cook County is covered by the Cook County Residential Tenant and Landlord Ordinance, in effect since June 1, 2021, which has similar deposit transfer rules. It does not apply in Chicago, Evanston or Mount Prospect, which have their own ordinances. Owner-occupied buildings with six or fewer units are exempt from both the RLTO and the county ordinance.
- Plan for taxes.
Selling a rental can trigger capital gains tax and depreciation recapture. Some owners use a 1031 like-kind exchange to defer tax by buying another investment property. The rules and deadlines are strict, so talk to a tax professional before you sign a contract.
Tenants keep their rights through a sale. They are entitled to proper notice before showings and inspections, and units with a Housing Choice Voucher have additional rules through the housing authority.
Ways out, compared
A manager handles calls, rent collection and turnovers for a monthly fee, often a share of the rent. You keep the income and any appreciation, but you still pay for repairs and capital work.
An agent can market the building to owner-occupants and investors and may get the top price for a well-kept, fully rented property. Expect showings in occupied units, buyer inspections and a lender appraisal.
If you want to stay invested but trade up, simplify or move to another market, a like-kind exchange may defer tax. It requires a qualified intermediary and strict timing, so plan it with a tax pro first.
We buy rentals as-is with tenants and leases in place, pay the normal closing costs and all transfer taxes, and close on your date. Your tenants see one scheduled walk-through, not weeks of showings.
Should you sell with tenants or empty the building first?
Emptying a building can widen your pool of buyers, especially owner-occupants shopping for a two-flat. It also costs you. You lose rent while units sit empty, you keep paying taxes, insurance and utilities, and you have to follow the notice rules for every tenancy. Some units also need work before anyone new will move in.
Selling occupied keeps rent coming in until closing. The tradeoff is that most retail buyers want to see every unit, and their lenders want appraisals and copies of current leases. That can mean several rounds of showings for your tenants.
- Selling occupied often fits when tenants pay on time, leases run months out, or you’d rather not end anyone’s tenancy.
- Selling vacant often fits when leases are ending anyway, the building needs a full rehab, or an owner-occupant is your most likely buyer.
We buy both ways. If you sell to us occupied, the leases stay in force, deposits move to the new owner at closing, and tenants get written notice of who to pay next.
How a rental closing works
We close at a local title company. For a rental, a few items get extra attention:
- Rent proration. Rent you collected for the month of closing is split by day, and the buyer gets a credit for the days after closing.
- Security deposits. Deposits and any interest owed are credited to the buyer on the settlement statement. That handles the transfer, and then the tenant notices go out.
- Property taxes. Illinois property taxes are paid a year behind, so the buyer gets a credit for taxes owed through the closing date.
- Payoffs and liens. Your mortgage, any unpaid water charges and any recorded liens are paid from the proceeds.
- Costs. We pay the normal closing costs and all state, county and city transfer taxes, including Chicago’s.
You get the settlement statement before you sign, so you can check every credit and payoff line by line.
Three steps. You pick the closing date.
- Tell us about the house
Fill out the form or call (773) 825-9855. A few quick questions, no pressure.
- Get a fair cash offer in 24 hours
We look at the house with you and show you how we got the number. No obligation.
- Close on your date
As soon as 2–3 weeks, or take more time. We close at a local title company and pay your closing costs.
Questions sellers ask
Do my tenants have to move out before I sell?
No. In Illinois, a sale doesn’t usually end a lease, so tenants can stay through closing and their leases continue with the new owner.
What happens to security deposits when I sell my Chicago building?
Under the RLTO, you stay liable for each deposit, plus interest, until you transfer it to the new owner and notify the tenant in writing within 10 days. The transfer is handled as a credit on the closing statement.
Does the Chicago RLTO apply to my two-flat?
Not if you live in the building, because owner-occupied buildings with six or fewer units are exempt. If you moved out and rent both units, the RLTO generally applies.
I own a rental in suburban Cook County. Which rules apply?
The Cook County Residential Tenant and Landlord Ordinance covers most of suburban Cook and has similar deposit transfer rules. Chicago, Evanston and Mount Prospect have their own ordinances instead.
Can I sell if a tenant is behind on rent?
Yes. Unpaid rent is addressed in the contract, and we price the building on its actual rent roll. If a difficult tenant is the main reason you’re selling, our problem tenants page covers that situation in more detail.
Do you buy rental buildings that need major repairs?
Yes. We buy rentals as-is, including units with deferred maintenance, old boilers or open building violations. You don’t fix anything first.
Can I do a 1031 exchange if I sell to you?
An exchange depends on how your sale and your next purchase are structured and timed, not on who the buyer is. Set it up with a qualified intermediary and your tax advisor before closing, and we’ll work with their timeline.
Will you need to see every unit?
Yes. We walk through each unit once, at a time that works for you and your tenants, with proper notice. That is usually the only visit before closing.