Pittsburgh housing market outperforming most other states
The country’s political stage may be in flux but the housing market is not. Across most of the country, home sales have been increasing steadily over the last several years, especially in the Pittsburgh area. In fact, Pittsburgh’s housing arena has outperformed the majority of other cities.
According to the National Association of Realtors, almost six million homes were sold across the nation between the months of December and January which is an increase of 3.3% and an overall increase from January of 2016 of 3.8%. While these figures are great for the country, Pittsburgh’s housing market is considered one of the hottest in all of real estate by Fortune Builders. “In fact, Pittsburgh real estate investing is responsible for an average gross profit return of 55 percent per flip.” That’s third best in the nation with Baltimore and Tampa claiming the top two spots. For perspective, the national average of flip profit is about 35 percent. The best part about these numbers is the fact that they only account for about 2.9 percent of the overall home sales in the steel city.
Who said price doesn’t matter? Analysts suggest that the reason for the trend-setting sales has a lot to do with the below-average home prices. Last month, median list price for a Pittsburgh home was just $144,000, far lower than the national average of $228,000 and mostly the cause of attracting so many Millennials, according to chief economist Jonathan Smoke of Realtor.com.
There are a few schools of thought as to why this buyer’s market is forecasted to continue. Firstly, the country is still riding the coattails of prior years’ boons. As interest rates reset upwards, the country’s housing market will begin to crest, but it’s likely that the Pittsburgh area will take much longer to feel the wake. Secondly, more foreign investors have taken a notice in the city and have commenced talks with city leaders about potential bases of operation. Thirdly, tech companies and other startups continue to plant roots in the city thanks to an abundance of nearby talent from the 68 colleges and universities like Carnegie Mellon University and the University of Pittsburgh. Currently, tech giants such as Google, Apple, Facebook, Uber, Nokia, and IBM are just some of the 1600 technology-driven companies that generate a massive $20.7 billion in economic revenue. With so much current and rising talent infiltrating the Pittsburgh area, the housing market is almost guaranteed to remain as one of the nation’s leaders.
So how can you secure your piece of the Pittsburgh pie? One option is to follow the lead of Pittsburgh’s leading real estate solutions company Lakeview Capital LLC. Serving the Pittsburgh area since 2003, Lakeview Capital purchases, modernizes, rents and manages hundreds of properties for clients. They help individual homeowners, companies, investors and renters secure exceptional properties that fulfill their needs. If you’re an individual looking to purchase, sell or rent or if you’re a real estate investor, Lakeview Capital can help you buy, sell and profit from Pittsburgh’s exceptional market growth. Click HERE for more information about the company. chad ruiz