Pittsburgh vs Philadelphia as an investment location

[Michael Wolffs]

I'm an investor out of NYC.  The NYC metro market rental market is in the twin bad places of being both priced and oversupplied with rentals currently.  So I'm looking elsewhere.  I had keyed in on Pittsburgh as an investment target city, and have been talking to a broker and reviewing properties.  As I was doing this, I thought that I might want to see how Philly compared.  I will admit that part of this is that it's a bunch easier to get to Philly from NYC than Pittsburgh.

So for those who've looked at both, how do they compare. Specifically I'm looking cost and availability of multi-family properties, and the rental prospects for completed units. I just finished a project in Jersey City that turned into a BRRRR type project, and would entertain that in either city. I would also look at bigger operating properties. I would expect Philly to be a little more expensive, but to have equal or higher return percentages. Is this correct?

Any info appreciated.

[David Krulac]

@Rob Beardsley  I'd echo @Josh Caldwell  there are lots of opportunity in Pittsburgh.  I too have owned property in Pittsburgh.  I would enter the Pgh market as any other market, first I'd look at loopnet and costar, then I would contact some commercial real estate brokers there and see what inventory they had and whether there was a fit for you working with them.

David Krulac

Bigger Pockets Podcast #82