Englewood (60621) Leads Cook County Yields at 16.2%

Yields across 167 neighborhoods in Cook County range from 16.2% in Englewood (60621) down to under 3% in premium lakefront and North Shore suburbs. That spread is wider than the gap between short-term rental and long-term rental returns at the county level, which means WHERE you buy matters more than HOW you rent it out. This ranking shows which neighborhoods lead on gross yield and why the pattern exists.

Englewood (60621) and Harvey (60426) Top the Yield Ranking by a Wide Margin

Gross yield = annual rent / sale price. Based on 3-bed house medians. The dashboard shows every property type and bedroom count.

Low Entry Prices Drive the Top Three, Not Exceptional Rents

Englewood (60621) leads because entry prices are extremely low, not because rents are unusually high. At $87,404, it sits far below the county median of $483,049, while rents of $1,179 per month hold up relative to that price. Englewood sits on Chicago's South Side, an area that has seen prolonged disinvestment. Investors buying here are betting on deep-value pricing and strong cash-on-cash returns, but they need to account for higher vacancy risk and management intensity.

Harvey (60426) follows at 14.4%, located just south of Chicago's city limits in the south suburbs. Harvey has experienced economic decline since the closure of major industrial employers, which depressed home values without a proportional drop in rental demand. Tenants still need housing, and with limited new construction, rents have remained resilient relative to purchase prices. Dolton (60419) sits nearby in the same south suburban corridor, yielding 13.0% with slightly higher prices and rents. Dolton benefits from proximity to the Bishop Ford Expressway and CTA bus connections, giving renters access to Chicago employment without city-level housing costs.

The short-term rental picture amplifies these differences. Englewood (60621) is less likely to outperform on short-term rental because tourist and business travel demand concentrates closer to downtown and the lakefront. Dolton (60419) and Hazel Crest (60429), with better suburban infrastructure and proximity to family-oriented attractions, may see stronger short-term rental performance. You can model both strategies per neighborhood in the dashboard and compare directly.

Cheaper Suburbs Yield More Because Rents Don't Fall as Fast as Prices

The pattern across Cook County is textbook yield mechanics: as sale prices drop, rents decline too, but more slowly. A house in Englewood (60621) costs roughly a fraction of the county median of $483,049, yet its rent of $1,179 is not proportionally lower. The result is a yield of 16.2%. An investor entering at $87,404 in Englewood (60621) versus $483,049 at the county median faces a very different capital-risk profile. The cheaper property delivers far higher income yield but carries more risk of price stagnation, vacancy, and capital expenditure surprises.

Premium suburbs in Cook County (think Winnetka, Wilmette, and parts of the North Shore) exceed $900,000 for a 3-bed house and the priciest (Glencoe) tops $1,231,246. At those levels, even strong rents cannot deliver yields above 3%. Buyers in those areas are paying for school districts, lakefront proximity, and long-term capital appreciation. That is a valid strategy, but a fundamentally different one from income-focused investing.

Premium Chicago Suburbs: Lower Yields, Different Investment Thesis

For context, some of Cook County's best-known suburbs sit at the opposite end of the yield spectrum. Neighborhoods like Evanston (home to Northwestern University), Oak Park (known for Frank Lloyd Wright architecture and strong schools), and the North Shore communities of Wilmette, Winnetka, and Kenilworth consistently rank among the most desirable in Chicagoland. These are premium markets where investors accept lower yields in exchange for capital growth, tenant quality, and liquidity when selling.

These well-known suburbs do not appear in the top-yield ranking precisely because their desirability pushes purchase prices well above the county median of $483,049, while rents, though strong in absolute terms, cannot keep pace on a yield basis. An Oak Park 3-bed house might rent for more than a Harvey (60426) property in raw dollars, but because it costs several times more to buy, the yield compresses sharply. The dashboard shows the full yield breakdown for every neighborhood in Cook County, including these premium areas, so you can compare the income-vs-growth trade-off directly.

What the Ranking Doesn't Show

Yield is rent divided by price. A high yield can signal depressed prices rather than strong rental demand. Several of the top-yielding neighborhoods in Cook County have experienced population loss, job contraction, or infrastructure challenges that explain the low purchase prices. Investors should look beyond the yield number to vacancy rates, tenant demand depth, and the trajectory of local employment before committing capital.

Capital growth is the other half of total return. Premium suburbs with yields below 4% have historically delivered stronger price appreciation, meaning total returns (income plus growth) can exceed those of high-yield areas over a 10-year hold. Vacancy risk also differs: thin rental markets in some high-yield neighborhoods may mean longer vacancy periods between tenants. The short-term rental dimension adds yet another layer. This ranking uses long-term rental yield only; short-term rental nightly rates and occupancy can reorder the ranking entirely, particularly in neighborhoods near O'Hare Airport, McCormick Place, or the downtown lakefront. The dashboard lets you model both strategies per neighborhood.

Cook County Yields Sit Below State and National Medians

At the county level, Cook County's median gross yield of 4.4% falls below both the Illinois state median of 6.1% and the national median of 4.9%. That reflects Chicago's role as a major metro: higher sale prices compress yields even as rents remain strong in absolute terms. However, the top-yielding neighborhoods in Cook County comfortably exceed both benchmarks. Englewood (60621) at 16.2% and Harvey (60426) at 14.4% sit well above the national median, illustrating how much suburb selection can override the county-level picture. Even Hazel Crest (60429) at 11.9% more than doubles the county median. For investors focused on income yield rather than capital appreciation, these south suburban pockets offer returns that rival markets in much cheaper states. For a deeper look at how costs change the picture, see After All Costs, Cook County's Short-Term Rental Edge Narrows Sharply and Chicago Short-Term Rentals Double Long-Term Revenue, but Costs Close the Gap.

Regulations Are Manageable but Vary by Municipality

Illinois has no statewide short-term rental ban. Chicago requires licensing. Other municipalities may have their own rules. State and local hotel taxes apply. Investors considering short-term rental should verify licensing requirements in their specific municipality before purchasing. Chicago's licensing process involves a registration fee and compliance with building codes; suburbs outside city limits may have lighter or heavier restrictions depending on local ordinance. The lodging tax across Cook County ranges from approximately 6.3% at the state level to significantly higher when local taxes are added, which affects short-term rental net returns. Property taxes in Cook County run around 2.0%, which is notable because Illinois property taxes are among the highest in the country. This cost applies equally to long-term and short-term rental strategies and is already factored into the dashboard's net yield calculations.

Data reflects market conditions as of April 2026. Suburb-level numbers in the dashboard stay current as new data comes in. For methodology details, see the market score methodology and data sources pages.

This information is for educational purposes only and should not be considered financial or legal advice. Regulations and market conditions change frequently. Verify current rules with local authorities before making investment decisions.