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Buying a home in Philadelphia, Pennsylvania

In Philadelphia, the median value of owner-occupied homes is $269,200, Philadelphia County's effective property tax rate is 0.82%, a purchase mortgage carried a median $6,878 in total loan costs in 2025, and median gross rent is $1,397 a month.

Data as of : Census ACS 2025 1-year, Census Vintage 2024, FHFA HPI 2026Q2, Census ACS 2020-2024, HMDA 2025, HUD FY 2027. Sources

Checked on against the official sources listed at the bottom of the page.

Philadelphia home costs, fact by fact

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If you buy

Pennsylvania state transfer tax

Realty transfer tax: 1% of the value of the property. Change the price: the amount is recalculated instantly.

Price$269,200
State transfer tax$2,692
Share of the price1% of the price
Who paysShared by buyer and seller

Default price: the Philadelphia median value of owner-occupied homes, $269,200 (Census ACS 2025). Rule: 1% of the value of the real estate, including contracted-for improvements, plus assumed debt. For transfers with no sale price, such as gifts or foreclosures, the base is assessed value times the Department of Revenue's Common Level Ratio factor for the county. Plus Philadelphia's city share of 3.578% (since July 1, 2025), 4.578% in total with the state (City of Philadelphia). Who pays: The state holds seller and buyer jointly and severally liable. In Philadelphia the tax is usually split evenly but this is not required, and the city can collect 100% from either party; the contract decides the split. Not included: other county and city transfer taxes, recording fees, title insurance and lender charges. Pennsylvania transfer tax guide · all 50 states.

Local taxes in Philadelphia, on top of the amount above at $269,200: $9,632. Rates, who pays and sources: transfer tax in Philadelphia.

If you sell

Capital gain and the federal tax on it

Same federal rule in every state: Section 121 of the Internal Revenue Code excludes up to $250,000 of gain on a main home ($500,000 for a married couple filing jointly).

Capital gain$350,000
Section 121 exclusion$250,000 (limit $250,000)
Taxable gain$100,000
Type of gainLong-term (owned over 1 year), 15% chosen
Federal tax on the gain$15,000

Section 121 excludes $250,000; the rest is taxable.

Gain = sale price minus your adjusted basis (purchase price, buying costs and improvements); selling expenses reduce it (IRS Publication 523). Long-term rates for sales in 2026, by taxable income including the gain (IRS Rev. Proc. 2025-32, section 4.03): 0% up to $49,450 single or $98,900 married filing jointly, 15% up to $545,500 single or $613,700 jointly, 20% above. Not included: Pennsylvania state income tax on the gain (not computed), the net investment income tax, depreciation recapture on a rental or home office, and the reduced exclusion for an early sale. Agent commissions are negotiated and never set by law. Capital gains on a home sale.

In short

The median value of owner-occupied homes in the city of Philadelphia is $253,600, according to the Census Bureau’s 2024 American Community Survey. The City’s Department of Revenue lists a combined realty transfer tax of 4.578% (3.578% City and 1% Commonwealth). Anyone selling property in Philadelphia needs a Property Sales Certification, according to the City.

How much homes cost in Philadelphia

The Census Bureau’s American Community Survey (ACS) asks owners how much they think their home would sell for. The median of those answers is a useful benchmark, but it is not a sale price: it covers every owner-occupied home, including homes bought long ago. Our page on Pennsylvania home prices explains the method in detail.

AreaMedian value, 2024 (ACS)Margin of error (90%)
City of Philadelphia (same as Philadelphia County)$253,600±$6,236
Philadelphia–Camden–Wilmington metro area$375,100±$2,652
Pennsylvania$277,600±$1,517
United States$360,600±$618

Source: U.S. Census Bureau, ACS 1-Year Estimates 2024, table B25077. The 2025 estimates are scheduled for October 29, 2026.

Are Philadelphia prices rising?

The Federal Housing Finance Agency (FHFA) tracks repeat sales of the same single-family homes. Its purchase-only, seasonally adjusted index for the Philadelphia, PA metro division, published August 25, 2026, shows:

Area1-year change (Q2 2025 to Q2 2026)5-year change (Q2 2021 to Q2 2026)
Philadelphia, PA metro division+2.8%+27.0%
Pennsylvania+3.9%+37.2%
United States+2.1%+33.4%

Source: FHFA House Price Index, quarterly purchase-only files. Changes calculated by Payotte from the published index values.

Prices in the Philadelphia area rose modestly over the past year, after a gain of about a quarter over five years.

Transfer tax in Philadelphia

Philadelphia charges its own realty transfer tax on top of the state’s. The City’s Department of Revenue page lists a City rate of 3.578% and a Commonwealth rate of 1%, for a total of 4.578%, calculated on the sale price or assessed value plus any assumed debt. Our page on transfer tax in Pennsylvania explains the rules; we do not recalculate it here.

Property tax in Philadelphia

The Office of Property Assessment (OPA) sets the assessed value of each property, and the City’s Real Estate Tax is based on that figure. Two rates are combined, one for the City and one for the School District, and the bill is due on March 31 each year. The City’s page also describes a homestead exemption that reduces the taxable part of the assessment, available only after you apply. To dispute an assessment, you file an appeal with the Board of Revision of Taxes. For the current rates and how the tax is paid through a mortgage, see our Pennsylvania property tax guide and our guide to escrow accounts.

Help for first-time buyers

The City’s Philly First Home program offers a grant of up to $10,000 or 6% of the purchase price, whichever is less, for the down payment and closing costs, “while funding is available.” It requires counseling before you sign the agreement of sale and applies to single-family homes and duplexes, not condominiums. The Pennsylvania Housing Finance Agency adds its own assistance loans. Amounts, income limits and a worked example are on our page about first-time buyer programs in Pennsylvania.

Selling in Philadelphia: the sales certification

The City of Philadelphia states that “Pennsylvania State Law requires you to have a Property Sales Certification to sell real estate in Philadelphia,” for commercial and residential property alike. The certification provides the property’s zoning classification, its last established use in the zoning record, and a disclosure of uncorrected violations of the housing, building, safety and fire ordinances. The City’s page lists a fee of $139 and a processing time of five business days, and applications go through the eCLIPSE online system or in person at the Permit and License Center. Confirm the fee and timing with the Department of Licenses and Inspections before you list. Our page on seller disclosure in Pennsylvania covers the state’s separate disclosure rules.

Pennsylvania guides for Philadelphia buyers

Frequently asked questions

What is the median home price in Philadelphia?

The Census Bureau’s 2024 American Community Survey puts the median value of owner-occupied homes in the city of Philadelphia at $253,600 (±$6,236). This is what owners think their home is worth, not the median sale price of recent sales.

Are home prices in Philadelphia going up?

According to the FHFA purchase-only index, prices in the Philadelphia, PA metro division rose 2.8% between the second quarter of 2025 and the second quarter of 2026. Over five years, they rose 27.0%.

Does Philadelphia have a transfer tax?

Yes. The City’s Department of Revenue lists a City rate of 3.578% and a Commonwealth rate of 1%, for a total of 4.578%. See our transfer tax page for the details.

Who assesses property in Philadelphia?

The Office of Property Assessment determines your property’s value, and the Department of Revenue bills the Real Estate Tax, due March 31. Appeals of an assessment go to the Board of Revision of Taxes.

Do I need a certificate to sell a home in Philadelphia?

Yes, according to the City: a Property Sales Certification from the Department of Licenses and Inspections, covering zoning and uncorrected code violations. Check the current fee and timing with the City.

More Pennsylvania guides

Sources

Questions about buying a home in Philadelphia

How much is property tax in Philadelphia?

Homeowners in Philadelphia County pay a median $2,003 a year in property tax, 0.82% of the county median home value of $243,100 (Census ACS 2020-2024). Your bill depends on your assessed value and local rates.

What are closing costs on a mortgage in Philadelphia?

Home-purchase mortgages in Philadelphia County carried median total loan costs of $6,878 in 2025; half of the 9,202 loans fell between $5,078 and $9,753 (HMDA). Total loan costs are the lender and settlement-service charges of the Closing Disclosure; transfer taxes and prepaid items come on top.

Is there a transfer tax when you buy a home in Philadelphia?

Pennsylvania's realty transfer tax is 1% of the value of the property, and counties and municipalities add a local tax; Philadelphia adds 3.578% for a total of 4.578%. Both buyer and seller are liable to the state, and in Philadelphia the tax is usually split evenly.

Is it cheaper to rent or buy in Philadelphia?

It depends on your mortgage rate, down payment and how long you stay. As a benchmark, the median value of owner-occupied homes in Philadelphia ($243,100) equals 14.5 years of the median gross rent ($1,397 a month), both from Census ACS 2020-2024.

Run your own numbers: rent vs buy calculator · closing costs calculator.

Professionals by sector of Philadelphia

Who licenses each trade in Pennsylvania

Other large cities: see cities in Pennsylvania.

Data sources for the figures above

Pennsylvania · All states · Federal guides