New investor struggling to identify first market

[Chris Mclaughlin]

Hello! I am looking to do my first deal in 2025 and I have identified my buybox to be multi unit properties (2-4 units) in Philadelphia, under 500k (prefer under 400k), and do not require any renovations. I've chosen Philly because I am originally from there so I know the city and I have friends/family still living there that I could rely on in case of emergency. 

Unfortunately, as I have been analyzing properties in my identified neighborhoods, I haven't found anything that fits in my buybox and generates enough cashflow to justify the investment. I have recently started to wonder if I should look into other markets.

I would like advice - Should I continue searching in Philly given my strong ties to the city or should I start searching for new markets that generate more cashflow? Pittsburgh maybe?

[Jeremy Taggart]

@Chris Mclaughlin Pittsburgh is cool. Good supply of multis ranging from about 60-125k/unit depending on bedroom counts and quality of the building/area. 1-1.5% rent/price ratios in decent neighborhoods for turnkey/close to turnkey. Can get above 1.5% but probably not in areas I would recommend being out of state having to rely on third party management. We just helped an out of state client buy a nice brick 4plex with 2BR units renting at $900 each for $250k to give you an idea of what would be considered a solid cash flow deal here. That was in a nicer pocket of a C class neighborhood.