Philadelphia Homebuyers Face Record Prices as 6,324 Buyers Trail 8,858 Sellers

3 articles · Updated · WHYY · Jun 23

Philadelphia remains deeply unaffordable for buyers even with more listings, as economists say inventory is still historically low and prices are rising near the fastest pace in the country.
High mortgage rates are compounding the squeeze, shutting out many first-time buyers and discouraging existing owners from moving because replacing pandemic-era low-rate loans would sharply raise monthly payments.
Redfin counted 6,324 buyers and 8,858 sellers in May across the Philadelphia metro area, but economists say that apparent buyer’s-market imbalance mostly reflects how few households can afford to purchase.
Philadelphia’s large health care sector is a key driver of demand, with job and income growth helping sustain home-price gains even as both buyers and sellers struggle in a constrained market.
Economists expect the strain to persist for years, suggesting Philadelphia’s affordability problems will ease only slowly with the broader U.S. housing market.