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Pittsburgh vs Philadelphia for Rental Property Investing

Side-by-side comparison of Pittsburgh, PA and Philadelphia, PA — cap rates, rent, prices, and investment metrics.

Pittsburgh wins 3–2 across key metrics
Pittsburgh leads on cash flow (4.25% vs 4.15% cap rate)
Metric
Pittsburgh, PA
Philadelphia, PA
Est. Cap Rate
4.25%
4.15%
Median Home Price
$220,000
$265,000
Median Monthly Rent
$1,250
$1,480
1% Rule
0.57%
0.56%
GRM
14.7x
14.9x
Price / Income
4.2x
5.0x
Property Tax Rate
1.36%
1.36%
Vacancy Rate
6%
5.8%
Population Growth
0.2% / yr
0.2% / yr
Annual Appreciation
2.3%
2.5%
Population
302,971
1,576,251
Median Income
$52,800
$52,800

Pittsburgh vs Philadelphia: Which Is Better for Investors?

Cash flow: Pittsburgh has the edge with an estimated cap rate of 4.25% compared to Philadelphia's 4.15%. 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 $265,000 in Philadelphia, while rents come in at $1,250/mo and $1,480/mo respectively.

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.

Bottom line: Pittsburgh edges out Philadelphia on most key metrics. While cap rates are moderate at 4.25%, Pittsburgh's overall profile is stronger. Use our free calculators to model specific deals in Pittsburgh or Philadelphia.

Pittsburgh, PA
4.25% cap rate · $220,000 median · $1,250/mo
Full analysis →
Philadelphia, PA
4.15% cap rate · $265,000 median · $1,480/mo
Full analysis →
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