Two Pa. Towns Make Top 10 College Towns for Investors

Indiana, Pennsylvania, tops NAR’s list of Top 10 College Towns for Real Estate Investors, with Williamsport coming in at No. 6.

With their steady stream of student renters, increased spending power and higher demand for housing and employment, college towns are often economic drivers for their surrounding cities.

The study cited by NAR was conducted by HireAHelper, who ranked over 500 college towns based on median home price, price change in the last 12 months, projected growth in home prices over the next five years, favorable housing supply-to-demand ratio and potential rent income.

While seven of the top 10 best college towns for real estate investors were in Illinois and Indiana, Pennsylvania’s very own Indiana ranked No. 1, and Williamsport fell at No. 6.

Home to Indiana University of Pennsylvania, Indiana’s median home price is $160,500, with a 12-month increase of 19% and a five-year price projection of 12% growth. Indiana also offers high levels of housing supply and a potentially high rental income, making it the most ideal college town for real estate investors.

“We have a lot of new properties that are being updated, and that’s where investors are coming in to build and strengthen those properties,” Sheri Kunkle, a member of Realtors® Association of Westmoreland, Indiana and Mon Valley, said. The area has a large amount of student housing, some of which is being updated and transformed into single-family housing.

“We have such an active downtown community, which is what draws together the college and the town,” Kunkle added, speaking on the college’s positive economic and community-related impact on the town. “It’s a good mix where we can come together and support each side—the college and the businesses of the community.”

Aside from its real estate potential and amenity offerings, Kunkle considers Indiana to be a welcoming community and a picturesque town, even comparing it to a Norman Rockwell painting.

At No. 6, Williamsport has a median home price of $136,800, a 12-month price change of 3% and a five-year price projection of 13% growth. The town is home to both Lycoming College and Pennsylvania College of Technology.

“Prices have remained fairly stable recently,” Kevin Hodrick, PAR’s District 7 vice president and a member of West Branch Valley Association of Realtors®, said. “We’re not seeing massive increases in prices, so for investors, there are still decently priced properties available.”

Hodrick added that the opportunities in the area extend beyond student housing, as there have been a number of redevelopments and conversions of buildings into multi-unit spaces.

“The downtown area has gone through revitalization in the past years as well. We have some great restaurants and breweries to offer,” he said.