South Shore Chicago Rental Market

11 Replies

I am have been presented an opportunity to purchase two multi-unit properties in South Shore in the high 70's around the Phillips and Colfax area.  I wanted to get the boards opinion about the area regarding crime, the rental market as there seems to be alot of renovated units on the market so I am concerned about absorption and lastly thoughts on rental rates if you have experience in the market.  

Any help would be greatly appreciated.

Thanks in advance

I know this area and have invested in South Shore.   The low 70s is better.  The high 70s is ok.   

South Shore has always been a bit more popular to invest in, because of its proximity to Lake Michigan.  The beaches around there are very nice.   But it is mostly a lower income neighborhood and it does have its crime.    PM me, and we can talk more.

I do keep up with crime stats - over the summer there were lots of crime/shooting due to gang factions/fighting in the area. It's a shame because it's very patchy - you've got some beautiful blocks, then crime ridden blocks mingled in.   I do know that there is a high concentration of section 8 tenants in the area also.  

I also know that there plans to revitalize since it's near Chicago University and with the Obama Library which will be in the Jackson Park area that's close

Trulia Crime Map is a great way to start your research.  South Shore is a great buy and hold.  A lot of things are in fold for Woodlawn/South Shore area.  As far as rental rates go, look up what section 8 rentals are going for.  2 BR's are averaging 950 to 1200 for renovated units.

https://www.trulia.com/real_estate/Chicago-Illinois/crime/

In chicago, its block by block with crime rates. To get the actual facts on crime in a specific area, check out chicagopolice.org

Thanks to everyone for their help on this!!

If you have any questions about that area let me know I am very familiar with that area

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I own a property in the area you're talking about. It's not terrible for crime but there are a LOT of people just loitering around on the streets in front of buildings. Depending on the building you purchase you can really do well with section 8 rents, but you will get section 8, entitlement mentality as well. It's not quite an area that can command market rents or support fancy renovations. I will say when looking at buildings, look at layout for future potential (i.e. can I add a bath or relocate the kitchen on the floor plan).

Good post. I’ve been thinking about the south side also.

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