Last updated on June 21st, 2023
best places to airbnb in Pennsylvania
Key Takeaways
- The cheap real estate market and steady economic growth of Philadelphia allows many property investors to earn a good passive income through Airbnb.
- Discover the advantages that real estate investors have when investing in Philadelphia, Pennsylvania.
- The top 10 neighborhoods and nearby cities in Philadelphia, PA are revealed along with their recommended property type and Airbnb data.
Introduction
Philadelphia owns a rich history since is one of the oldest cities in the US. In fact, this is where the Declaration of Independence was signed. It is also the former capital city of the country. Best known as the City of Brotherly Love, Philly is home to iconic landmarks such as the Independence Hall and the Liberty Bell.
Philly is a city that blends its historical and cultural legacy with modernism and technology. It offers a variety of entertainment activities, museums, top-tier restaurants, cafes and amazing parks.
Philadelphia owns an attractive housing market and a diversified economy that has drawn many investors’ attention. But you may wonder, “which is the best place to invest in real estate in Philadelphia?” – we got you!
In this article, we’ll feature the best places to do Airbnb in Philadelphia, Pennsylvania and some of the expectations for real estate investments in this city. Stoked to learn more? Then continue reading!
Advantages of buying an investment property in Philadelphia
Investing in Airbnb in Philadelphia is a great way to earn a passive income while achieving financial freedom. This is because it offers good investment opportunities to real estate investors. Philly is one of the most lively cities in the US and a treasure of culture and history. But what advantages does this location offer to property investors? Check out some of the reasons why buying an investment property in Philadephia can be profitable:
Philly’s real estate market
One of the top advantages of investing in Philadelphia is that its real estate market is quite affordable! Based on Zillow Index, the average property price is $216,524K, trending up 7.2% year over year. Overall, the median housing value is 20% lower than the national average and 12% cheaper compared to other cities in the state.
Diversified economy and great location
The city of Philadelphia is constantly growing and its economy is quite diverse! Its economy is driven by the healthcare, IT, biotechnology and financial sectors. In fact, Philly is one of the Top 10 MSA in the US and not only that, but it’s also home to renowned academic institutions. Thanks to these factors, Philly enjoys a steady economic expansion.
Aside from its diversified economy, Philadelphia also owns a prime location. The city is located near the Atlantic Ocean and is quite easy to have access to major cities like NYC and Washington D.C. So you will be a short flight away from great cities!
Popular historical destination
It’s a given fact that Philadelphia owns a significant historical and cultural legacy in the US. In fact, this place is where the “American dream” arose! Home to important architectural treasures and historical sites, Philly welcomed around 36M tourist arrivals just in 2021 as confirmed by the city’s government official website. This surely sounds interesting to property investors who want to cater to tourist accommodations.
Is Airbnb Profitable in Philadelphia, PA?
Are you worried that your real estate investment in Philly won’t be profitable? You don’t need to worry anymore. Airbtics confirms that investing in an Airbnb property in Philadelphia is lucrative. In fact, this city is one of the top Airbnb cities in the USA where you can earn a monthly revenue of $2,000+! Yet, you should have in mind that the level of profitability depends on the property type and location.
Based on Airbtics’ data, an Airbnb host can expect an average annual revenue of $50,883 and a median occupancy rate of 61% for operating a 4-bedroom property in Philadelphia.
Top 10 Areas for Airbnb Investment Properties near Philadelphia, Pennsylvania
Philadelphia is the largest city in the state of Pennsylvania and one of the most historically significant cities in the US. Philly has more than 150 defined neighborhoods, thus, it’s understandable if you’re having a hard time choosing the best place to set up your Airbnb listing in Philadelphia.
Check out the best neighborhoods and nearby cities in Philadelphia that are highly recommended for starting an Airbnb business:
1. Kensington, Philadelphia
- Total Number of Airbnb Listings: 99
- Best bedroom size: 4 bedrooms
- Median property price (4 bedrooms): $259,900
- Airbnb Annual revenue: $81,676
- Gross rental yield: 31.43%
2. Fishtown, Philadelphia
- Total Number of Airbnb Listings: 92
- Best bedroom size: 4 bedrooms
- Median property price (4 bedrooms): $339,900
- Airbnb Annual revenue: $81,676
- Gross rental yield: 24.02%
3. Philadelphia Center City
- Total Number of Airbnb Listings: 1,027
- Best bedroom size: 4 bedrooms
- Median property price (4 bedrooms): $529,900
- Airbnb Annual revenue: $113,402
- Gross rental yield: 21.40%
4. Grays Ferry, Philadelphia
- Total Number of Airbnb Listings: 37
- Best bedroom size: 3 bedrooms
- Median property price (3 bedrooms): $215,000
- Airbnb Annual revenue: $41,662
- Gross rental yield: 19.38%
5. Brewerytown, Philadelphia
- Total Number of Airbnb Listings: 63
- Best bedroom size: 2 bedrooms
- Median property price (2 bedrooms): $269,000
- Airbnb Annual revenue: $39,056
- Gross rental yield: 14.52%
6. Wilmington, DE
- Distance from Philadelphia: 33 miles
- Total Number of Airbnb Listings: 93
- Best bedroom size: 1 bedroom
- Median property price (1 bedroom): $164,500
- Airbnb Annual revenue: $33,793
- Gross rental yield: 20.54%
7. Atlantic City, NJ
- Distance from Philadelphia: 55 miles
- Total Number of Airbnb Listings: 283
- Best bedroom size: 3 bedrooms
- Median property price (3 bedrooms): $165,000
- Airbnb Annual revenue: $50,498
- Gross rental yield: 30.60%
8. Allentown, PA
- Distance from Philadelphia: 64 miles
- Total Number of Airbnb Listings: 54
- Best bedroom size: 2 bedrooms
- Median property price (2 bedrooms): $159,900
- Airbnb Annual revenue: $34,756
- Gross rental yield: 21.74%
9. Wildwood, NJ
- Distance from Philadelphia: 69 miles
- Total Number of Airbnb Listings: 339
- Best bedroom size: 3 bedrooms
- Median property price (3 bedrooms): $525,000
- Airbnb Annual revenue: $61,108
- Gross rental yield: 11.64%
10. Baltimore, MD
- Distance from Philadelphia: 89 miles
- Total Number of Airbnb Listings: 1,044
- Best bedroom size: 3 bedrooms
- Median property price (3 bedrooms): $189,000
- Airbnb Annual revenue: $52,518
- Gross rental yield: 27.78%
Summary
Philadelphia has a variety of property options as well as profitable areas that offer a nice cash-on-cash return to real estate investors. While there are plenty of neighborhoods and nearby cities in Philly with great rental yields and annual revenue, it is worth noting that you should still analyze your options thoroughly.
Now that we revealed the best places to Airbnb in Philadelphia, Pennsylvania, we encourage you to go further and check Airbtics’ short-term rental calculator. Maximize your profitability and stand out among your competitors now!
