Best neighborhoods for LTR in the class B to A- range?

Question

Hello Philly Biggerpockets,I own a rental property in Baltimore and looking for my next buy and hold in Philly.Doing initial research now. Goal is B to A- neighborhoods with solid rents and potential for appreciation.My #1 neighborhood right now is Port Richmond.The 1% rule is not required (is that even possible anymore?). I'm not looking for gut renos, but could do small cosmetic upgrades/fixes.Budget: 300-500k ARV

Eric Greenberg · Answer

Late to the party but if you are looking at Port Richmond step one is to stay on the east side of Aramingo. I think there is alot of promise on the commercial strip on Richmond St south of Allegheny

Ziya Mammadov · Answer

I am living in Ludlow area, I see lot of new constructions are built here. The area is getting better. I specifically like the area because of the location. It is kind of in the middle of everything. On North there is Temple University, on the East Northern Liberties and Fishtown, on South it is close to Liberty Bell, on the West South is Center City.

Saaj Patel · Answer

Asish,

Mimicking everyone else, Philadelphia is very block-to-block. One street can be completely gentrified and the next, untouched for decades.

You will likely benefit from someone who is a local agent and is able to have their boots on the ground. There are good pockets here and I always like to follow the lines of gentrification as much as possible.

Alan Asriants · Answer

Hey Asish, I am an investor and agent in the Phila Area.

With that budget I think the best markets for rentals right now are Northeast Phila and Roxborough/manayunk

The city (closer to center city) has become a buyers market for many areas and a lot of it is due to crime in the city as a result of local policies and aftermaths of COVID.

Properties are sitting longer and rentals can be tougher to fill. If you are still in a historically strong neighborhood you will be able to find properties that can be easy to rent out. The more "up and coming" the neighborhood is, the tougher it is to sell/rent

In the price range that you mentioned I think that prices you out of many solid options near center city. As an investor, I wouldnt look into port richmond, but this is my opinion. If you're a believer go for it.

But I think that NE Philly is the strongest neighborhood right now in the city. Lower crime, not block to block, and very easy to rent out to solid candidates. The numbers make better sense too. The zoning out here is a bit different. Most duplexes are twins with garages, backyards, driveways etc

Roxborough and manayunk is a similar style neighborhood to look at too. NE Phila is tougher to get into due to low inventory and high demand

Best neighborhoods for LTR in the class B to A- range?

Best neighborhoods for LTR in the class B to A- range?

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