Pittsburg in Atlanta

[Jon Baker]

I'm confused on why the prices in Pittsburgh are so high. It's not a very safe area, more houses are run down than not and there are much better communities nearby that have lower, albeit marginally lower, comps- including ones on/near the beltline. Not sure if it's out of state investors that aren't familiar with the area or the allure of the Pittsburgh yards/beltline nearby but I would say that a majority of Pittsburgh is not great and there are significantly better areas for the prices I see in Pittsburgh. As an Atlanta resident, maybe I'm having too pessimistic of a viewpoint and not seeing the potential but it just doesn't add up to me. I would guess it's based on speculation that's baked in but I don't see how it's worth the risk- especially when Pittsburgh yards seems to be much less of an attractive retail destination compared to other beltline developments (west end development, Ponce, potentially Murphy Crossing..). I get the market is red hot right now but it doesn't make sense to me. Thoughts?

I mean: $400k for a duplex with a 1/1 on each side less than (what looks to be) 700 sq feet on less than a tenth of an acre? It's been on the market for a while (which is unusual in this market, which indicates it's overpriced) but the fact that investors could think properties could get that high is representative of the overall sentiment of the area right now, from what I see. 

[Randy Lee]

@Jon Baker I can certainly relate to your post. We've been buying and flipping in Pittsburgh (total of 5 flips) since 2017 and even recently flipped a single family for over 300k. It's been great, but i also think that Pittsburgh prices have gone up too far too fast. It's something that i've been wondering about as well. I would note though that the neighborhood is much better now than 3, 2 or even a year ago. It continues to improve, though still has ways to go. I envisioned that prices in Pittsburgh will come up and eventually level with the other southwest Atlanta beltline neighborhoods, especially if and when most of the properties and parcels along University are developed and University Avenue complete streets project is completed.  Prices have come up so fast that i have now broadened my search to other beltline neighborhoods that are somewhat better where you could probably buy cheaper. Having said that, i believe Pittsburgh values will continue to rise due to the location and accessibility to the beltline, but maybe at a slower pace.