Investing in Quadcities, is there difference between IA and IL?

Question

For those investing in the quad cities, is there a difference between purchasing property in the IL side (Moline, Rock Island) vs the IA side (Bettendorf, Davenport)?

I hear that Iowa is more landlord friendly than Illinois, but I'm not sure how that plays out in this city.

thanks!

Matt Holmer · Answer

From someone who invest and handles the transactions/evictions in both states.  A couple bullet points are:

Illinois

- Lower acquisition cost

- Higher taxes

- Longer and more expensive eviction process

- Lease agreements can have attorneys fees provisions

- No inspections for SFH

- LLCs are more expensive, but those fees to the state have gone down recently

Iowa

- Higher purchase price

- Lower taxes

- Inspections required for rental properties

- Faster and cheaper eviction process

- Hard limit on late fees allowed in leases

- No attorneys fees allowed in lease

- LLCs are cheaper to operate and only have bi-annual reporting

Michael Pease · Answer

@Matt Holmer that's a perfect summation of the difference here in this area.

I will say that a lot of people in IA tend to avoid IL for rentals but I find this to be more personal preference than driven by any real numbers. Properties rent very well in IL!

David Nino · Answer

From an eviction standpoint, you can get a tenant out a lot faster on the Iowa side.  I have 20 rental units on Illinois side and usually takes atleast  month to evict someone.  I have had a few attorneys tell me that Illinois is more tenant friendly as where Iowa is more landlord friendly.

Investing in Quadcities, is there difference between IA and IL?

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