Mashvisor Home

Discover

Philadelphia

Philadelphia, commonly referred to as “Philly”, is located in southeastern Pennsylvania and has the largest population in the state. Its population of over 1.5 million makes it the 5th most populous city in the United States. The greater Philadelphia region also boasts a high growth in its millennial population, leading the nation.

Almost half of the residents (49.4% according to NeighborhoodScout) are renters rather than homeowners. So not only is the large and growing population a good sign for real estate investors on its own, but buying a rental property in Philadelphia means plenty of demand from tenants.

It’s also important to note that this population consists of a highly educated workforce who supports the health of the local economy. The 1.4% job growth rate year over year is another positive sign of the strong and steady economy in the Philadelphia-Camden-Wilmington metropolitan area. While Philadelphia has historically relied on the manufacturing industry, it has become a more diverse economy in recent decades. Leading industries in Philly include finance, telecommunications, biomedicine, medicine and pharmaceutics, insurance, technology, and printing and publishing. Of course, with all of its famous historic attractions like the Liberty Bell Center, the National Constitution Center, and the Museum of the American Revolution, tourism plays a big role in the economy of the city as well.

The Philadelphia real estate market is in the top five housing markets in the Northeast region of the US for overall investment prospects, according to the annual report by the PWC. This is mainly due to the fact that Philadelphia real estate offers both affordability and the advantages of a highly populated city.

Philadelphia Realtors and Real Estate Agents

Select agents


Philadelphia  Real Estate Investment Performance
Facts and Market Trends in Philadelphia
Homes For Sale2,707
Airbnb Properties1,407
Rental Properties16,386
Traditional Vacancy rate7.80%
Airbnb Occupancy Rate58.84%
Mashmeter73.81%
Median Price$305,852
Median Rent Price$1,641
Price/sqft$382
Median Days on Market84
Price to Rent Ratio17.6
Average Cap Rate
Airbnb3.78%
Traditional2.66%
Average Rental Income
Airbnb$2,081
Traditional$1,447
 
Median Household Income$39,759
Population1,580,863
Transportation in Philadelphia
79 / 100
Very Walkable
67 / 100
Good Transit
66 / 100
Bikeable
Philadelphia  Rent Prices
RENTAL STRATEGY STUDIOS 1 ROOM 2 ROOMS 3 ROOMS 4 ROOMS
Airbnb$1,665$1,581$1,629$1,873$2,897
Traditional$1,451$912$1,135$1,435$1,791
Philadelphia, PA - Homes for Sale - Newly Listed
Investment Properties for Sale
$159,900
MLS PAPH850552
3606 LIVINGSTON ST
Philadelphia, PA 19134
Richmond
Townhouse
2 beds1 baths717 sq.ft.
CAP RATE
Trad. -2.08%Airbnb -2.24%
Investment Properties for Sale
$244,900
MLS PAPH848764
3625 OLIVE STREET
Philadelphia, PA 19104
Mantua
Single Family Residential
3 beds2 baths1,000 sq.ft.
CAP RATE
Trad. 3.60%Airbnb 6.18%
Investment Properties for Sale
$100,000
MLS PAPH850908
2909 N TAYLOR STREET
Philadelphia, PA 19132
Glenwood
Townhouse
3 beds1 baths920 sq.ft.
CAP RATE
Trad. 3.01%Airbnb -2.37%
Investment Properties for Sale
$219,900
MLS PAPH850750
118 E COLONIAL STREET
Philadelphia, PA 19120
Melrose Park Gardens
Townhouse
3 beds3 baths1,484 sq.ft.
CAP RATE
Trad. 0.62%Airbnb 0.58%
Top Performing Philadelphia Properties
Investment Properties for Sale
$259,000
MLS PAPH833802
2026 S 4TH STREET
Philadelphia, PA 19148
Greenwich
Townhouse
4 beds2 baths1,984 sq.ft.
CAP RATE
Trad. 2.11%Airbnb 8.00%
Investment Properties for Sale
$78,500
MLS PAPH836640
2938 RORER STREET
Philadelphia, PA 19134
Upper Kensington
Townhouse
2 beds1 baths952 sq.ft.
CAP RATE
Trad. 2.45%Airbnb 7.99%
Investment Properties for Sale
$297,900
MLS PAPH839428
1927 E ALBERT STREET
Philadelphia, PA 19125
East Kensington
Townhouse
4 beds2 baths1,480 sq.ft.
CAP RATE
Trad. 4.08%Airbnb 7.98%
Investment Properties for Sale
$325,000
MLS PAPH845996
1834 S 22ND STREET
Philadelphia, PA 19145
West Passyunk
Townhouse
4 beds2 baths1,440 sq.ft.
CAP RATE
Trad. 1.24%Airbnb 7.91%
Recently Sold Homes in Philadelphia, PA
Investment Properties for Sale
$1,399,999
MLS PAPH847184
90 E LAUREL STREET
Philadelphia, PA 19123
Northern Liberties
Multi Family
0 beds0 baths4,200 sq.ft.
CAP RATE
Trad. N/AAirbnb N/A
Investment Properties for Sale
$549,900
MLS PAPH836972
3 S 43RD STREET
Philadelphia, PA 19104
West Powelton
Multi Family
0 beds0 baths1,830 sq.ft.
CAP RATE
Trad. N/AAirbnb N/A
Investment Properties for Sale
$489,000
MLS PAPH794016
2009 S 11TH STREET
Philadelphia, PA 19148
East Passyunk
Multi Family
0 beds0 baths2,478 sq.ft.
CAP RATE
Trad. N/AAirbnb N/A
Investment Properties for Sale
$899,999
MLS PAPH821706
1324 MIFFLIN STREET
Philadelphia, PA 19148
Newbold
Multi Family
0 beds0 baths16,000 sq.ft.
CAP RATE
Trad. N/AAirbnb N/A
Property Value Changes and Real Estate Appreciation in the Philadelphia Housing Market

The Philadelphia housing market promises not only affordable real estate but significant property appreciation as well. Since Q1 of 2000, Philadelphia home values have experienced a total appreciation of 141% at an average annual rate of 4.7% (according to NeighborhoodScout). Zillow forecasts that Philadelphia real estate will continue to appreciate by 9.4% over the next year. This combination of cheap real estate and high natural appreciation makes Philadelphia investment properties a great option for investors.

Property investors should keep in mind, however, that the Philadelphia real estate market is currently a hot seller’s market. This is mainly due to the low inventory of homes for sale. As a result, property prices are rising in the market even though they are still affordable compared to most major metro areas in the US housing market.

Philadelphia, PA Top Multi Family Homes
Investment Properties for Sale
$86,900
MLS PAPH836664
1931 N 31ST STREET
Philadelphia, PA 19121
Brewerytown
Multi Family
0 beds0 baths1,953 sq.ft.
CAP RATE
Trad. 7.90%Airbnb N/A
Investment Properties for Sale
$99,900
MLS PAPH845976
1215 W CAMBRIA STREET
Philadelphia, PA 19133
Hartranft
Multi Family
0 beds0 baths1,979 sq.ft.
CAP RATE
Trad. 7.74%Airbnb N/A
Investment Properties for Sale
$79,900
MLS 1009998360
536 E WESTMORELAND STREET
Philadelphia, PA 19134
Upper Kensington
Multi Family
0 beds0 baths1,503 sq.ft.
CAP RATE
Trad. 7.64%Airbnb N/A
Investment Properties for Sale
$99,000
MLS PAPH844776
3765 N 18TH STREET
Philadelphia, PA 19140
Nicetown
Multi Family
0 beds0 baths2,304 sq.ft.
CAP RATE
Trad. 7.46%Airbnb N/A
Homes Below Median Price in the Philadelphia, PA Real Estate Market
Investment Properties for Sale
$259,000
MLS PAPH833802
2026 S 4TH STREET
Philadelphia, PA 19148
Greenwich
Townhouse
4 beds2 baths1,984 sq.ft.
CAP RATE
Trad. 2.11%Airbnb 8.00%
Investment Properties for Sale
$78,500
MLS PAPH836640
2938 RORER STREET
Philadelphia, PA 19134
Upper Kensington
Townhouse
2 beds1 baths952 sq.ft.
CAP RATE
Trad. 2.45%Airbnb 7.99%
Investment Properties for Sale
$297,900
MLS PAPH839428
1927 E ALBERT STREET
Philadelphia, PA 19125
East Kensington
Townhouse
4 beds2 baths1,480 sq.ft.
CAP RATE
Trad. 4.08%Airbnb 7.98%
Investment Properties for Sale
$325,000
MLS PAPH845996
1834 S 22ND STREET
Philadelphia, PA 19145
West Passyunk
Townhouse
4 beds2 baths1,440 sq.ft.
CAP RATE
Trad. 1.24%Airbnb 7.91%
Philadelphia Airbnb Growth and Regulations

Because Philly offers unique historical attractions to tourists, it comes as no surprise that the vacation rental industry prospers in the city. In fact, Airbnb growth as been so great in the Greater Philadelphia region (a five-county area) that local hosts made over $6.2 million in additional income in 2018. Airbnb Philadelphia alone welcomed the most guests bringing with them $47.7 million in revenue for hosts in the city. This is all thanks to the legalization of Airbnb in Philly in 2015. The city hoped to capitalize on the upcoming visit of Pope Francis through short-term rentals. So zoning laws were changed and Airbnb rental properties have since been allowed to operate in residential areas. This makes it one of the best cities for Airbnb investment.

Even though the practice is legal, if you wish to rent out a non-owner occupied property, you will have to apply for a visitor’s accommodation variance. Beside that, to operate legally, Airbnb Philly hosts will have to pay an 8.5% hotel tax. There is also a cap on the days an Airbnb rental can be occupied by guests- up to 30 days at one time and up to 180 days in a year. The property cannot be occupied by more than 3 people who aren’t related at one time. There are also safety regulations hosts must abide by such as installing smoke alarms on every floor, in each bedroom, and in hallways near bedrooms of the Airbnb rental property. Carbon monoxide alarms must also be installed.

In addition to those Airbnb regulations, a Philadelphia host cannot make changes to the rental property for the purpose of renting it out on a vacation rental website nor can you advertise using lawn signs or the like.

Philadelphia, PA Top Airbnb Homes
Philadelphia Airbnb
$70 per night
Entire home/apt · 3 beds
Art Museum Area Stunning Studio
833
Philadelphia Airbnb
$115 per night
Entire home/apt · 1 bed
Modern Loft in Landmark Building
759
Philadelphia Airbnb
$95 per night
Entire home/apt · 2 beds
Rittenhouse Sq 1BR Apt w/Grdn Patio
683
Philadelphia Airbnb
$99 per night
Entire home/apt · 1 bed
Art Museum Studio - Ideal Location!
669
Philadelphia, PA Homes for Rent
Investment Properties for Sale
$1,100
MLS PAPH850690
4312 LANCASTER
Philadelphia, PA
Belmont
Other
0 beds0 baths0 sq.ft.
Investment Properties for Sale
$850
MLS PAPH850756
3902 N DARIEN STREET
Philadelphia, PA
Hunting Park
Townhouse
3 beds1 baths1,120 sq.ft.
Investment Properties for Sale
$975
MLS PAPH850942
Investment Properties for Sale
$985
MLS PAPH847058
1229 CHESTNUT STREET #421
Philadelphia, PA
Center City
Apartment
0 beds1 baths267,023 sq.ft.
Philadelphia, PA Open Houses
Investment Properties for Sale
Open 11 AM to 1 PM
$219,900
MLS PAPH850750
118 E COLONIAL STREET
Philadelphia, PA 19120
Melrose Park Gardens
Townhouse
3 beds3 baths1,484 sq.ft.
CAP RATE
Trad. 0.62%Airbnb 0.58%
Investment Properties for Sale
Open 12 PM to 2 PM
$289,900
MLS PAPH850484
2521 FEDERAL STREET
Philadelphia, PA 19146
Graduate Hospital
Townhouse
2 beds2 baths1,200 sq.ft.
CAP RATE
Trad. 3.17%Airbnb 5.68%
Investment Properties for Sale
Open 2 PM to 4 PM
$229,000
MLS PAPH850182
2517 W SEYBERT ST
Philadelphia, PA 19121
Sharswood
Townhouse
2 beds2 baths0 sq.ft.
CAP RATE
Trad. 1.62%Airbnb 2.92%
Investment Properties for Sale
Open 10 AM to 2 PM
$389,900
MLS PAPH850348
1221 S CLARION STREET
Philadelphia, PA 19147
Passyunk Square
Townhouse
2 beds1 baths826 sq.ft.
CAP RATE
Trad. 1.79%Airbnb 3.11%
Best Philadelphia Neighborhoods for Buying Investment Property
87%
Mashmeter
property price
$472,400
Median
cap rate
5.63%
Traditional
7.78%
Airbnb
rental income
$2,216
Traditional
$3,062
Airbnb
homes for sale
28
occupancy rate
66%
Airbnb
86%
Mashmeter
property price
$589,900
Median
cap rate
4.00%
Traditional
6.24%
Airbnb
rental income
$1,967
Traditional
$3,069
Airbnb
homes for sale
35
occupancy rate
67%
Airbnb
95%
Mashmeter
property price
$467,500
Median
cap rate
6.48%
Traditional
6.87%
Airbnb
rental income
$2,524
Traditional
$2,677
Airbnb
homes for sale
52
occupancy rate
66%
Airbnb
88%
Mashmeter
property price
$762,450
Median
cap rate
4.44%
Traditional
4.95%
Airbnb
rental income
$2,824
Traditional
$3,143
Airbnb
homes for sale
22
occupancy rate
66%
Airbnb
85%
Mashmeter
property price
$435,000
Median
cap rate
5.26%
Traditional
8.38%
Airbnb
rental income
$1,905
Traditional
$3,039
Airbnb
homes for sale
54
occupancy rate
68%
Airbnb
All Philadelphia Neighborhoods