If you've been apartment hunting in Chicago, you've probably noticed something: most buildings don't ask for a security deposit. Instead, they charge a move-in fee.
These two things sound similar but work very differently — and knowing the distinction can save you hundreds of dollars. For a full overview of every stage of renting in Chicago, see the Chicago Renter's Guide.
What Is a Security Deposit
A security deposit is a refundable payment — typically one month's rent — held by the landlord to cover damages or unpaid rent. In Chicago, security deposits are governed by the Chicago Residential Landlord and Tenant Ordinance (RLTO), one of the most tenant-friendly rental laws in the country. For the full breakdown of your rights under the RLTO, see Chicago Renter Rights Every Tenant Should Know.
Under the RLTO, landlords who collect security deposits must hold the funds in a federally insured interest-bearing account, provide written receipts, and return the deposit within 30 days of move-out — with itemized deductions if any are made. Failure to comply exposes landlords to penalties of up to two times the deposit amount plus attorney fees.
Because the compliance requirements are strict and the legal exposure is real, most professional property management companies in Chicago have stopped collecting security deposits altogether.
What Is a Move-In Fee
A move-in fee is a one-time, non-refundable charge collected at lease signing. It is not governed by the same RLTO rules as security deposits, which is precisely why large management companies prefer it.
Unlike a deposit, you will never see this money again regardless of how well you maintain the unit or how clean you leave it at move-out.
How Much Are Move-In Fees in Chicago
Move-in fees at professionally managed buildings typically fall in the following ranges.
| Building Type | Typical Move-In Fee |
|---|---|
| Luxury high-rise | $400 – $750 |
| Mid-rise, professionally managed | $300 – $500 |
| Condo, private landlord | Varies — deposit more common |
| Pet move-in fee (if applicable) | $200 – $500 (separate, also non-refundable) |
Some buildings charge both a move-in fee and a move-out fee. Always ask for a full written breakdown of upfront costs before submitting an application. For the full picture of what qualifications you'll need before those costs even apply, see Chicago Apartment Application Requirements.
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Move-In Fee vs. Security Deposit Side by Side
| Move-In Fee | Security Deposit | |
|---|---|---|
| Refundable | No | Yes |
| Governed by RLTO | No | Yes |
| Held in escrow | No | Required by law |
| Typical amount | $350 – $750 | One month's rent |
| Common in | Professional management buildings | Private landlords, condos |
Why Chicago Buildings Switched to Move-In Fees
The shift away from security deposits accelerated after Chicago strengthened its RLTO protections. Managing deposits correctly requires tracking interest, issuing receipts, maintaining separate accounts, and following strict return timelines.
A flat non-refundable fee eliminates all of that. It's cleaner for the landlord, predictable for the renter, and removes the post-move-out dispute cycle entirely. The tradeoff is straightforward: renters pay less upfront in total dollars, but lose the ability to recover any of it.
What to Watch for Beyond the Move-In Fee
Admin fee: A separate processing fee charged at application, typically $50–$150. Also non-refundable in most cases.
Pet fee: A separate one-time move-in fee of $200–$500 on top of ongoing monthly pet rent of $25–$75.
Move-out fee: Some buildings charge a separate fee at move-out for elevator reservation and unit prep, typically $150–$300.
Parking deposit: If you're renting a parking spot, some buildings require a separate refundable deposit of $250–$500.
Can You Negotiate Move-In Fees
With large management companies, rarely — fees are standardized across all units to comply with Fair Housing laws. Offering different terms to different applicants creates legal exposure they're not willing to take on.
With private landlords or condo owners, there's more room. A strong application — high credit score, income well above the 3x requirement, stable employment — gives you leverage to ask for a waived or reduced fee. Winter move-ins and new building lease-ups are also moments when buildings are more willing to deal. For a full guide on timing your search to minimize costs, see Chicago Apartment Hunting Guide for Winter.
If you can't negotiate the fee down, ask instead about concessions like a free first month or waived parking — management companies have more flexibility on concessions than on fixed fee schedules.
Tips to Minimize Upfront Rental Costs
Avoid condo rentals if you want predictability. Private condo landlords sometimes charge security deposits instead of move-in fees, which means more money tied up upfront — even if it's technically refundable.
Ask for the full move-in cost sheet before applying. Application fees, admin fees, move-in fees, and pet fees can stack quickly. Know the total number before you commit.
Time your search for winter. Buildings with higher vacancy during November through February are more likely to offer incentives that offset upfront costs.
Work with a broker. A licensed Dibze broker who knows which buildings are running lease-up specials can save you the equivalent of your move-in fee before you ever sign a lease — at no cost to you.
Frequently Asked Questions
Is a move-in fee refundable in Chicago
No. Move-in fees are non-refundable. Unlike a security deposit, you will not recover any of this money regardless of how well you maintain the unit.
How much is a move-in fee in Chicago
$300–$750 at most professionally managed buildings. Luxury high-rises average $400–$750. Pet move-in fees are separate and also non-refundable at $200–$500.
Do Chicago apartments require a security deposit
Most professionally managed buildings do not. They charge a move-in fee instead. Security deposits are more common with private condo landlords.
How long does a landlord have to return my deposit in Chicago
30 days after move-out, or 45 days if damage is claimed. Missing that deadline means the landlord owes you twice the deposit amount plus attorney fees under the RLTO.
Can I negotiate my move-in fee
Rarely at management companies — fees are standardized for Fair Housing compliance. With private landlords, a strong application gives you leverage. Winter move-ins and lease-ups are the best windows to ask.
What fees do I pay upfront when renting in Chicago
Expect first month's rent, a non-refundable move-in fee of $350–$750, and an application or admin fee of $50–$150. Pets add a separate $200–$500 fee. Always get a full written cost breakdown before applying.
Why did Chicago buildings stop charging security deposits
Chicago's RLTO imposes strict compliance requirements for deposits — interest-bearing accounts, written receipts, strict return timelines, and steep penalties for violations. A flat non-refundable move-in fee eliminates all of that administrative burden and legal risk.
How do I avoid upfront cost surprises in Chicago
Ask for a full written move-in cost sheet before applying. Work with a Dibze broker who knows each building's fee structure — they can tell you the total number before you commit to anything.
