Investing in Philadelphia 19140
18 Replies
Jayson Greenblatt
from Bronx, NY
posted about 1 year ago
I was wondering who is investing in the 19140 zipcode. I was looking around there yesterday and was wondering how others have made out. What are reasonable rents and what are reasonable prices to pay o. Single fam and multis?
Alan Blitz
from Willow Grove, Pennsylvania
replied about 1 year ago
This is a rough section of the city. Some blocks are better than others. You or a local realtor have to know that section of the city really, really well to know what blocks are worth investing in.
Jayson Greenblatt
from Bronx, NY
replied about 1 year ago
@Alan Blitz Thats the impression that I got. Is that area projected to be up and coming? Or is there not really anything there yet for improving the quality of the neighborhood?
Ian Walsh
Lender from Philadelphia, PA
replied about 1 year ago
19140 Philadelphia? There are tons of deals in Philadelphia. There are also tons of deals in the Bronx in your own location.
Jayson Greenblatt
from Bronx, NY
replied about 1 year ago
@Ian Walsh The bronx has a high entry price and higher taxes than P.A.. I was looking at Philly because of the lower prices and what seems to be very low taxes. Plus it is not a terrible distance away from me.
David Bokman
Real Estate Investor/Wholesaler from Philadelphia, Pennsylvania
replied about 1 year ago
Most of the people who invest in 19140 own section 8 homes, that's why most of them get good rents. The ARV in this area is well under $100k per home, not the best area in the world. If your plan is to own section 8 homes than this might be a good area for you. There is NO appreciation in this section of the city.
Alan Blitz
from Willow Grove, Pennsylvania
replied about 1 year ago
I do not know the answer about this area being up for redevelopment and investment dollars.
Pockets in Philadelphia that have seen investment recently are Brewerytown in North Central Philadelphia, Strawberry Mansion, Olney, and Germantown. Some might say you are too late, but there are always deals to be found.
Jayson Greenblatt
from Bronx, NY
replied about 1 year ago
Are there other areas in Philly that have similar priced homes? I was attracted to the area due to wanting to buy in cash.
Jayson Greenblatt
from Bronx, NY
replied about 1 year ago
Also, are the taxes truly under 3k a month around there? Or are those numbers skewed to make the houses more appealing.
Chris Martino
Rental Property Investor from Jersey City, NJ
replied about 1 year ago
Hi @Jayson Greenblatt , as other member have said before this area is not going to add any appreciation any time soon. If you are looking for an appreciation play I would anticipate the rougher parts of Kensington to be more suited for that. The area is still very rough in some areas but lots of development plans planned.
Roi Azoulay
Investor from Brooklyn, KY
replied about 1 year ago
@Jayson Greenblatt I was looking on a similar target properties in Philadelphia and actually drove by this zipcode yesterday, I visit some properties in need of rehab in various locations. I think it is much different than the structure of streets and neighborhoods in the Bronx or Brooklyn, like others said here; some blocks are nice and some might take much more time to develop.
Alan Blitz
from Willow Grove, Pennsylvania
replied about 1 year ago
Taxes vary depending on the assessment. The City of Philadelphia re-assesses properties from time to time. Taxes are all over the place based on zip code, which you probably already knew.
Houses in a similar price range. Pull up a map and look near the Philadelphia Zoo => Gerard Ave. between 38th and 57th and the surrounding blocks. Some blocks are good and some aren’t. Can’t remember the zip code.
Jimmy O'Connor
Rental Property Investor from Philadelphia, PA
replied about 1 year ago
@Jayson Greenblatt I'll try and address some of the points here throughout this chain.
1) 19140 is definitely a strong rental market, certain pockets closer to Germantown see higher ARV if you are looking to flip.
2) Taxes are dirt cheap over there, ranging usually between 300-500 annually.
3) @David Bokman that seems to be the average of the whole zip code but the 19140 area encompasses a large area- there are several properties North of Erie West of Broad that sell 125-140k for a typical row home around there (most properties are 1200-1400 square feet). East of Broad gets rough, definitely, a rare sight to see standard row homes sell for much more than 100k, usually around that 65-75k mark if they are in decent shape and as low as 20k for on market prices in rough shape.
4) The appreciation play is speculative but the city is actually planning on pumping in money to the Plaza at Broad and Erie since it has so much foot traffic and capacity for commercial. (Apparently, a Marriott is in the works ). That is right by Temple University Hospital. On top of that, you have Germantown on the NW Boarder of that Zip code. HOWEVER- East of Broad and that high north beyond Lehigh will likely not see significant appreciation for a WHILE. @Chris Martino is right about Kensington in the more immediate future since they already have large brand new multifamily properties at borders of that were once thought to be uncrossable (I'm looking at you, Lehigh Ave).
5) @Alan Blitz I think you are talking about is Mantua/Belmont/Parkside/Possibly Wynnefield Territory (labeling those from south going north to Girard and slightly above). Mantua is appreciating due to its proximity to U-City. Wynnefield is hot due to its proximity to Mainline. In that pocket, Lancaster Ave is a pretty hard border that, when crossed, can take you into Prince of Bel Aire territory of West Philly. 19104 I believe in the zip code that contains all those neighborhoods.
Hope this helps!
Matt I.
Rental Property Investor from Philadelphia, PA
replied about 1 year ago
i'm in 19125 and my taxes are just over 1k for the year. about 100 a month. wouldn't surprise me if the taxes are less in Kensington since the average crime is higher and income is lower.
Originally posted by @Jayson Greenblatt :Also, are the taxes truly under 3k a month around there? Or are those numbers skewed to make the houses more appealing.
Troy Sheets
Developer from Philadelphia, PA
replied about 1 year ago
Originally posted by @Jimmy O'Connor :@Jayson Greenblatt I'll try and address some of the points here throughout this chain.
1) 19140 is definitely a strong rental market, certain pockets closer to Germantown see higher ARV if you are looking to flip.
2) Taxes are dirt cheap over there, ranging usually between 300-500 annually.
3) @David Bokman that seems to be the average of the whole zip code but the 19140 area encompasses a large area- there are several properties North of Erie West of Broad that sell 125-140k for a typical row home around there (most properties are 1200-1400 square feet). East of Broad gets rough, definitely, a rare sight to see standard row homes sell for much more than 100k, usually around that 65-75k mark if they are in decent shape and as low as 20k for on market prices in rough shape.
4) The appreciation play is speculative but the city is actually planning on pumping in money to the Plaza at Broad and Erie since it has so much foot traffic and capacity for commercial. (Apparently, a Marriott is in the works ). That is right by Temple University Hospital. On top of that, you have Germantown on the NW Boarder of that Zip code. HOWEVER- East of Broad and that high north beyond Lehigh will likely not see significant appreciation for a WHILE. @Chris Martino is right about Kensington in the more immediate future since they already have large brand new multifamily properties at borders of that were once thought to be uncrossable (I'm looking at you, Lehigh Ave).
5) @Alan Blitz I think you are talking about is Mantua/Belmont/Parkside/Possibly Wynnefield Territory (labeling those from south going north to Girard and slightly above). Mantua is appreciating due to its proximity to U-City. Wynnefield is hot due to its proximity to Mainline. In that pocket, Lancaster Ave is a pretty hard border that, when crossed, can take you into Prince of Bel Aire territory of West Philly. 19104 I believe in the zip code that contains all those neighborhoods.
Hope this helps!
I hope everyone is printing and laminating all of this knowledge you're dropping, it's all spot on! I've picked up a couple things just off Lancaster between 40th and 41st, like a half block off. Not sure if that's Mantua or Belmont? Lots of development in that area and it is marching up Lancaster Ave and Haverford Ave, which both have good public trans running on them. I'm picking up RM1 lots right now to build MFH by-right but there are plenty of SFH shells available to rehab. There are some good opportunities in that area if you stay very close to Lancaster Ave. and no further out than maybe 42nd St?
Marcin Skibicki
Developer from Philadelphia, PA
replied about 1 year ago
Originally posted by @Jimmy O'Connor :@Jayson Greenblatt I'll try and address some of the points here throughout this chain.
1) 19140 is definitely a strong rental market, certain pockets closer to Germantown see higher ARV if you are looking to flip.
2) Taxes are dirt cheap over there, ranging usually between 300-500 annually.
3) @David Bokman that seems to be the average of the whole zip code but the 19140 area encompasses a large area- there are several properties North of Erie West of Broad that sell 125-140k for a typical row home around there (most properties are 1200-1400 square feet). East of Broad gets rough, definitely, a rare sight to see standard row homes sell for much more than 100k, usually around that 65-75k mark if they are in decent shape and as low as 20k for on market prices in rough shape.
4) The appreciation play is speculative but the city is actually planning on pumping in money to the Plaza at Broad and Erie since it has so much foot traffic and capacity for commercial. (Apparently, a Marriott is in the works ). That is right by Temple University Hospital. On top of that, you have Germantown on the NW Boarder of that Zip code. HOWEVER- East of Broad and that high north beyond Lehigh will likely not see significant appreciation for a WHILE. @Chris Martino is right about Kensington in the more immediate future since they already have large brand new multifamily properties at borders of that were once thought to be uncrossable (I'm looking at you, Lehigh Ave).
5) @Alan Blitz I think you are talking about is Mantua/Belmont/Parkside/Possibly Wynnefield Territory (labeling those from south going north to Girard and slightly above). Mantua is appreciating due to its proximity to U-City. Wynnefield is hot due to its proximity to Mainline. In that pocket, Lancaster Ave is a pretty hard border that, when crossed, can take you into Prince of Bel Aire territory of West Philly. 19104 I believe in the zip code that contains all those neighborhoods.
Hope this helps!
Great insight and analysis Jimmy, thanks! Does the city have any concrete plans or incentives for Broad and Erie? Or just showing intention with a long term plan? Would be interesting to see how that affects the area and opens up new opportunities.
Joshua Lidberg
Rental Property Investor from Philadelphia, PA
replied about 1 year ago
Has anyone had issues with the properties appraising in less desirable neighborhoods of the city, such as 19140, to cash out re-fi?
Jimmy O'Connor
Rental Property Investor from Philadelphia, PA
replied about 1 year ago
@Marcin Skibicki they do! Let me give you a better source than a new article: Broad and Erie 2035 Comprehensive Plan. For any city development or tracking where money is being pumped, I always reference the different districts within the City's Comprehensive Plan.
Jayson Greenblatt
from Bronx, NY
replied 4 months ago
I know this is an old post, but does anyone on here have an agent they would recommend for Philly? I took a ride out to Philly today and I still have an interest in investing there. Im in no way desperate or in a rush though. I prefer one that is knowledgeable on specific neighborhoods and also understands the current market.