Side-by-side comparison of Pittsburgh, PA and Philadelphia, PA — cap rates, rent, prices, and investment metrics.
Cash flow: Pittsburgh has the edge with an estimated cap rate of 5.27% compared to Philadelphia's 3.45%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $220,000 in Pittsburgh vs $375,000 in Philadelphia, while rents come in at $1,450/mo and $1,860/mo respectively. For context, the national average cap rate is 3.81% and average price is $333K.
Growth & appreciation: Pittsburgh is growing faster at 0.2% annually vs Philadelphia's 0.2%. Philadelphia leads on home value appreciation at 2.5% per year.
Costs & risk: Property taxes are 1.36% in Pittsburgh vs 1.36% in Philadelphia. Vacancy rates of 6% and 5.8% are mixed — Philadelphia has the tighter rental market.
Entry point: Pittsburgh offers a lower entry at $220K vs Philadelphia's $375K — a difference of $155K. With a 20% down payment, that's $44K vs $75K. Pittsburgh combines the lower price with a higher cap rate — a compelling combination.
Bottom line: Pittsburgh edges out Philadelphia on most key metrics. With a 5.27% cap rate, it offers solid cash flow potential. Use our free calculators to model specific deals in Pittsburgh or Philadelphia.