Philadelphia Average Rent – Real Estate Investor Alert!
Number of flipped homes is up, but inventory is low still going into the 4th Quarter, how does this help the Landlord?
In the first quarter of 2015, 820 single-family homes and condos were flipped in Philadelphia, an increase of 25 percent from a year ago. By comparison, there were 891 flips — defined as any property sold for the second time within a 12-month period – 40% of these properties became turn-key rentals for landlords.
All-cash buyers purchased 5,220 single-family homes and condos representing 41 percent of all sales in the Philadelphia metro area during the first quarter
A challenging part for the amount of time and work it takes to assemble a decent-sized portfolio of rentals in Philadelphia that didn’t suffer the massive downturn that California, Nevada, Arizona and Florida had experienced.
As of May 2015, average apartment rent within 10 miles of Philadelphia, PA is $1443.
One bedroom apartments in Philadelphia rent for $1197 a month on average and two bedroom apartment rents average $1483.
The average apartment rent over the prior 6 months in Philadelphia has increased by $155 (12%)
One bedroom units have increased by $146 (13.9%) and two bedroom apartments have increased by $159 (12%)
The most expensive Philadelphia neighborhoods to rent apartments are Riverfront, Fishtown, and City Center East
The cheapest Philadelphia neighborhood’s to rent apartments are Harrowgate, Logan-Fern Rock, and Tioga-Nicetown
Despite the challenge of finding inventory, the opportunity in the investment rental market remains strong.
The most important trend remains a demand for well-located houses, which are professionally managed.
What type of gross and net yields are you seeing for single family rentals in Philadelphia?