2023 Housing Market Overview
Pittsburgh Real Estate Market 2023
Pittsburgh Real Estate Market Overview
Metro Population: 2.5 M
Median Household Income:$51,000
Unemployment Rate:4.7%
Median Home Price*:$210,000
Median Monthly Rent*:$1,317
Pittsburgh Housing Market Trends
Pittsburgh Real Estate Market Trends & Statistics 2023
Although Pittsburgh’s real estate market has experienced significant changes in recent years, it still provides the cash flow that investors seek. In this section, we’ll take a closer look at some of the top factors that make Pittsburgh one of the strongest real estate markets today, including population and employment growth. Explore Pittsburgh housing market trends in the following sections.Data Sources:
- https://www.zillow.com/
- https://worldpopulationreview.com
- https://www.deptofnumbers.com/
- RealWealth Property Team Data
Pittsburgh median home values stats and descriptions 2022
Pittsburgh median monthly rent stats and descriptions 2022
Pittsburgh median home value appreciation rate 2014-2022
Pittsburgh median monthly rent appreciation rate 2014-2022
According to data from the US Census Bureau, the population of the Pittsburgh metro area was 2,353,538 in 2021. The population has declined by 0.15% in the past 11 years—a decline of 0.02% each year.
The population of the city of Pittsburgh is currently 302,425—a 0.18% decline since 2020 but it is still the second-largest city in Pennsylvania and 70th in the US.
Pittsburgh is a major hub for business and technology. The city’s workforce is highly skilled and diverse, and the region has been growing steadily since the Great Recession.
In fact, Pittsburgh added 28,100 new jobs between July 2021 and July 2022. But while this represents a 2.5% increase in employment over that time period, it also trails the national job growth rate by 35%.
As of August 2022, the unemployment rate in Pittsburgh was 4.8%. The U.S. unemployment rate at the time was 3.7%. Yet Pittsburgh’s economy continues to grow steadily with a GDP of over $136.3 billion, up 12% in the past ten years.
World-renowned companies such as Amazon, Facebook and Bossa Nova Robotics are fueling demand for skilled workers in Pittsburgh and attracting new residents from across the country (and around the world) who want to work for local businesses or start their own enterprises here.
The City of Pittsburgh has a thriving corporate business environment with ten Fortune 500 companies including Alcoa, The Kraft Heinz Company, United Steel Corporation (USX), Dick’s Sporting Goods Inc., PNC Financial Services Group Inc., PPG Industries Inc., calling Pittsburgh home.
Affordable real estate prices
Home prices in Pittsburgh are 39% lower than the average US home price. The 2022 Demographia International Housing Affordability study, presented by the Urban Reform Institute, ranked Pittsburgh as the most affordable city to buy a home in the world. This 18th annual edition of the study examined the cost of middle-income housing in 92 metropolitan areas across eight different countries during the third quarter of 2021. To rank affordability, it uses a metric called the median multiple—a measure that compares median house prices with median incomes. In Pittsburgh’s case, this metric is 2.7—lower than the median multiple for all other 92 metro markets that were analyzed in this study.Growing job sector
Pittsburgh has seen a surge in tech jobs, and it’s not showing any signs of stopping. New data compiled by the Computing Technology Industry Association (CompTIA) indicates that the Pittsburgh metro area has net tech employment of over 60,000—a number that puts Pittsburgh 29th among United States metros for the highest number of tech jobs. The Pittsburgh region gained 28,100 jobs between July 2021 and July 2022, a 2.5% increase over the previous year. Steady job growth is always a sign of a growing economy, which is favorable for real estate investing.Steady home appreciation rate
Pittsburgh has been a steady performer, with home values increasing at a rate that is consistent with the rest of the country. From 2020 to date, median home values have jumped by over $50,000. Between 2019 and 2022, the median home price in Pittsburgh increased by 33%, from $158,191 to $210,190. This was largely due to low housing inventory during this period. However, home values have been steadily rising even before the pandemic. NeighborhoodScout reports that the Pittsburgh metro has seen a yearly appreciation rate of 7.18% in home values from 2014 to 2022. This ranks in the top 30% nationwide.Strong rental market
A September 2022 report from Redfin ranked Pittsburgh second in terms of rent increases, with a 20% increase year over year. And with more than 53% of households in the area renting rather than owning their homes, there’s a lot of competition for a limited number of apartments. That keeps vacancies low and rents increasing.High quality of life ratings
Pittsburgh is a wonderful city to live in. And not only because it’s located in the beautiful state of Pennsylvania. It’s also affordable, safe, and has a high quality of life! According to a 2018 Livability.com study, Pittsburgh is the 41st most livable city in the world, one of only six American cities to make the list. It’s also the 6th most livable city in America. The study takes into account factors like safety, healthcare, education and infrastructure in its rankings. Housing in Pittsburgh is 39% less expensive than most other places in the US. The cost of living in Pittsburgh is lower than the national average and most cities in Pennsylvania. Some areas have higher costs, but overall costs for housing, utilities, groceries, transportation, health care, and miscellaneous goods and services are less expensive than average prices across America.High student population
Student housing makes up a significant portion of Pittsburgh’s rental market. The area is home to 68 colleges and universities, including Carnegie Mellon University and the University of Pittsburgh. Both are leaders in research and development. The University of Pittsburgh at Pittsburgh is a large public university located on an urban campus in Pittsburgh, Pennsylvania. It has 32,686 undergraduate students. Carnegie Mellon University is a private institution founded in 1900. It has a total undergraduate enrollment of 7,365 students.Newsworthy building developments and projects in Pittsburgh
Lower Hill Redevelopment
The Lower Hill redevelopment will transform the Hill District and have a significant impact on the entire Pittsburgh region. The 28-acre redevelopment plan includes converting surface parking lots into a mix of office, retail, and housing. The redevelopment includes creating a shared parking district and hotel that will help to drive more traffic to the area. In addition to residential units and a music venue operated by Live Nation, developers plan to build 190,000 square feet of retail space.Oakland Crossings
Oakland Crossings is a large-scale redevelopment project that will transform 17 acres of South Oakland. The area, which is mostly along Halket Street and McKee Place, currently contains single-family homes that are occupied mostly by groups of students. Walnut Capital plans to erect new, taller housing units to replace these homes. The developer’s plan also includes a 426-unit apartment complex with a 30000-square-foot grocery store.Hazelwood Green
The 178-acre Hazelwood Green site in Pittsburgh’s Hazelwood neighborhood is a former steel mill that has been redesigned into a residential and commercial neighborhood. The redevelopment of Hazelwood will include a 1.9-mile pedestrian and bike trail, a riverfront park, and hundreds of thousands of square feet of housing and office space. The first phase of development is expected to begin this year. In November 2021, the Richard King Mellon Foundation announced a $100 million grant to the University of Pittsburgh to build a bio-manufacturing facility called Pitt BioForge on the site.The Highline
The Highline is a cluster of massive late 19th-century brick buildings overlooking the Monongahela River. The first building is complete, but the other two are still under construction. The Highline is home to over 600,000 square feet of creative office and retail space.Smallman Street redevelopment
The Strip District is a place where history and innovation are constantly colliding. While the neighborhood’s produce heritage has remained a staple, there’s no denying that change is in the air. The ongoing development projects on Smallman Street are helping to preserve the Strip District’s past while bringing new life to this iconic part of Pittsburgh. And with over 750 apartments in the works in the next few years, Hudson Companies is making a big move toward redeveloping the 2900 block of Smallman Street. These projects—including a food-centric marketplace—are expected to make Smallman Street (from 16th to 21st Streets) a safer, more engaging destination and add 160,000 square feet of mixed-use commercial and retail space.Major Employers in Pittsburgh
Pittsburgh Housing Market News
- "One of the top 6 most affordable places to live in the US" - World Atlas
- "One of the top 15 life sciences markets in the US" - JLL
- "2nd on Redfin’s list of top 10 metros with fastest YOY rise in rents" - Redfin
- "Why Is Pittsburgh's Housing Market Booming in the Pandemic?" -
- "Pandemic Heats Up Housing Market" -
- "Redfin's 2021 Housing Market Predictions: 14.5 Million Americans Will Move Out of Town, Fueling 10% Sales Growth" -
- "Western Pennsylvania's Housing Market Roars Back to Life with Easing of Pandemic Restrictions" -
- "Real Estate Market Predictions for 2020 with Kathy Fettke [6 Part Webinar]" -
- "#7 Cities Where Millennials Are Moving" - Time
- "#1 Best City for Jobs" - Glassdoor
- "#1 city for young people to live based on job opportunities, affordability and livability" - Apartment List
- "Why Move to Pittsburgh" - Weleski Transfer
- "#48 Fastest Growing City" - Forbes
- "26 Rankings that Prove Pittsburgh is Better Than Any Other City" - Made in PGH
- "#3 Best Big City to Live" - WalletHub
- "#11 Most Affordable City" - Forbes
- "Pandemic Heats Up Housing Market" -
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