A Local Expert’s Guide To 10 Budget-Friendly Neighborhoods to Rent in Chicago
I’m Nicole, your ApartmentHomeLiving.com Local Expert for Chicago, IL. As a resident of the Chicago area for over 20 years, I’ve learned which neighborhoods are great and which are best avoided. I love the energy of the city, its mix of urban center and natural waterfront areas, and its rich entertainment scene. Jobs in many fields are easy to find in the city and its suburbs, and the University of Chicago, Northeastern Illinois University, and Chicago State all call the city home, providing educational opportunities. You can’t miss the Broadway scene in the Theater District, and Michigan Avenue’s shops draw millions each year.
If work or family are drawing you to Chicago, this guide will walk you through the most affordable neighborhoods where you can find comfortable housing options to fit your budget.
1. Uptown
Along Lake Michigan from Irving Park Road to Foster is the historic Uptown district. If you’re a lover of music, the many theaters, jazz halls, and other performing arts venues here will deliver exactly what you want. Yet even with these live performance venues and the appealing lakefront location, this remains one of the most affordable neighborhoods on the northern side of the city, especially if you’re looking for an apartment.
Chicago’s Uptown may be known by tourists for its entertainment district, but I love visiting this community for its many historic buildings. Taking a stroll past The Aquitania, then catching a performance at the Aragon Ballroom followed by grabbing drinks at Green Mill, makes for an enthralling evening on the town. Of course, being within walking distance of Lincoln Park’s Montrose Beach is a great perk to living in Uptown in the summer months.
While there are quite a number of affordable apartment options in Uptown, it’s also one of the most economically diverse neighborhoods in the city. Thus, you’ll be rubbing shoulders with people from all walks of life here. I also appreciate the ethnic diversity found here. When you’re hungry, be sure to head here to try some of the ethnic cuisines, especially Vietnamese food.
2. Southwest Side
Ok, you may be thinking that the area around Midway Airport isn’t the most desirable, but hear me out. Here, you’ll find affordable housing compared to other parts of the city and plenty of blue-collar work opportunities. But that’s not what I love about the Southwest Side. When I want something great to eat but want to think outside of the box, then this is where I want to go. The ethnic diversity here, including an established Polish community, several Mexican communities, and Lithuanian communities, have created a cornucopia of hidden gems for restaurants. Pticek & Son, with its Croatian treats, and Birrieria Zaragoza, a Mexican restaurant, are some of the top choices.
Don’t let the reputation of this region scare you. While there are some less desirable neighborhoods with safety concerns, several, like Brighton Park and West Lawn, are comfortable, with both apartments and single-family homes for those shopping on a tighter budget. And, as a perk, you’ll live minutes from one of the city’s two international airports.
3. North Lakefront
The North Lakefront region encompasses several neighborhoods, including Uptown, Buena Park, and the Mid-North District. It’s best known for the presence of Lincoln Park, which is a place I spent many weeks exploring with my kids. The zoo, conservatory, and Chicago History Museum draw many visitors, but I like to take a book, sit by the Caldwell lily pond, and simply soak in the green space.
Most of the neighborhoods in the North Lakefront are highly walkable. You can walk from your apartment to entertainment, shopping, and dining options, or you can jump on the red line and visit the entire Loop. The convenient access to Chicago’s famous public transit system combined with the beautiful natural areas of Lincoln Park are the reasons this region makes the list. It also has strong public schools with higher-than-average graduate rates compared to the rest of the city.
4. Hyde Park
Tucked away near Lake Michigan and seven miles to the south of the Loop, Chicago’s Hyde Park is rich with culture and education. Here, you can tour the famous Museum of Science and Industry, which is also a place with affordable apartments. When we headed to this part of town, we always took the time to visit the museum. Residents also often take picnics to nearby Promontory Point, enjoying a meal overlooking both the skyline and the water of Lake Michigan.
Choosing to live in Hyde Park can feel like living somewhere outside of the city because the vibe in this neighborhood is quite distinctive. Several CTA stations are scattered throughout, and being home to the University of Chicago gives it a distinctive college-town feel. It also means many of the residents tend to be on the younger side. The vast majority of the housing options here are apartments, many in mid- to high-rise buildings.
5. Lakeview
Bordered by West Diversey Parkway and West Irving Park Road, Lakeview gets its name because it is on the lake on the north side of the city. Chances are high you’ll find an apartment with a lake view here as well, though those tend to have a slightly higher price tag. As a Cubs fan for most of my adult years, I found myself drawn to this neighborhood when the Boys of Summer took to the field. Interestingly, I recently learned that it was Wrigley Field that led to the growth of this neighborhood in the 1880s when the city extended its public transit system to reach the baseball field. This, in turn, resulted in a real estate boom. Today, around 40% of the buildings, including many of its apartments, are from that initial growth period. You’ll find studio and one-bedroom apartments here that put you in the middle of the city.
Of course, life in Lakeview isn’t just about baseball and waterfront activity. This community is distinctively urban, offers a wide range of dining options, and has over 30 theaters within a one-mile walk of the center of the neighborhood. With so many different opportunities for its residents, it’s no wonder Lakeview attracts both older and younger residents across multiple ethnic groups.
6. Chatham
I haven’t spent much time in Chatham myself, but the African American heritage of this community shines in both its culture and its architecture. The culinary corridor is well worth visiting, starting with breakfast at Dat Donut and ending with dinner at Oooh Wee It Is, with its soul food options. It’s also known for its good elementary school, sidewalk-lined streets, and relative safety for Chicago’s south side.
Chatham offers its residents both single-family and apartment homes, and several historic properties were once owned by the rich and famous, or infamous, of Chicago. Both Ernie Banks and Al Capone owned homes here. Choose your district to pick the vibe of your home. For instance, the Bungalow District is dotted with cozy bungalows, while the Commercial District has homes with terra-cotta exteriors. Even if you don’t choose to live here, you’ll love exploring the architecture as you drive through. Art is strong here too, clearly seen with the colorful murals that line the buildings.
Chatham isn’t a large community, and it has two “L” Red Line stations to make transportation easy. If you need to get downtown fast, jump on the Metra Electric District train into Millennium Station.
7. Woodlawn
Woodlawn made a name for itself when it hosted the World’s Columbian Exposition of 1893. Today, it’s evolved into a primarily residential community, but many historic sites date back to its once-rich history. This lakefront community is seeing recent rebounds in housing sales, and I think this is due to careful planning that brought several mixed-use developments into the neighborhood. The University has built dorms and conference centers here, drawing in both staff and student populations. Add in the attractive apartment communities on South Cottage Grove, and you have plenty of reasons to consider this neighborhood in your search for affordable Chicago housing.
As with most communities in Chicago, access to public transit is a priority for those who live in Woodlawn, and it’s served the “L” Red Line as well as Metra rail service and several bus lines. You won’t have any trouble getting where you need to go if you move here.
Like most of the lakefront communities, Woodlawn has its park space. Its entire Lake Michigan border is made up of Jackson Park, which provides ample greenspace for you to explore. I particularly enjoy the beauty of the Garden of the Phoenix, which is on an island in the middle of Jackson Park.
8. Avalon Park
If you want to get away from the urban apartment scene and opt for a community with more single-family properties, then consider Avalon Park. Though it has both real estate options, it’s known for its cozy single-family homes. This neighborhood is crossed by the Chicago Skyway, making it easy to find and access.
What draws me to Avalon Park is its exceptional barbecue restaurants. Lining Stony Island Avenue, the restaurants here offer multiple styles of barbecue, as well as other options, so you will be sure to get your fill. After dark, you’ll find a thriving night scene not far from the historic theaters of the South Shore.
One of the features I find most appealing about this neighborhood is its namesake, Avalon Park. Not only does it have playgrounds and a water park with a small pool for the summer, but since this is Chicago, it has an indoor fitness center and fieldhouse for year-round play. However, the most distinctive feature of Avalon Park is not its amenities. It’s the annual block party where the entire neighborhood comes out enmasse to celebrate together.
9. Andersonville
When you visit Andersonville, you almost feel like you’ve stepped into a suburb, but you’re still within the city limits. The Swedish heritage of this community shines in its shops and restaurants, but what usually draws me is the unique shopping along Clark Street. Grab some new furniture for your apartment at one of the shops, then visit a local café for some coffee before heading home.
Andersonville’s shopping and laid-back vibe are its most distinctive features, but this little gem of a community is home to Goudy Technology Academy, an elementary school that focuses strongly on technology education and earns 6/10 from GreatSchools for its test scores.
Like most of Chicago’s neighborhoods, Andersonville has apartments and single-family home options, but my favorite housing here is the historic rowhouses. I love driving past and imagining the stories of the families who have lived in them over the years.
10. Calumet Heights
Calumet Heights makes the list because of its distinctive suburban vibe. This is a community where people tend to buy instead of rent, so they are often interested in putting down roots and staying a while. Most of the established properties are single-family, but I’m starting to see newer developments, including those with more affordable condos and apartments, popping up.
This neighborhood has become a virtual melting pot of cultures, which makes it an interesting place to live or visit. Those cultures all bring their own foods to the community, leading to multiple dining options. This neighborhood tends to appeal to families due to its large number of affordable single-family homes. Jesse Owens Park, located within the community, provides plenty for those families to do.
Because it is far south, Calumet Heights doesn’t have an “L” station. It does, however, have Metra access and bus lines. Most residents find they need to own a car to get around with ease.
