Cheapest Places to Buy a Home in Pennsylvania and How to Save on Energy Costs After You Move

Key Points of This Article:

• Pennsylvania has some of the most affordable housing markets in the U.S., especially in smaller cities like McKeesport, Oil City, and Johnstown.  
• The cheapest places to buy a home in Pennsylvania often come with trade-offs like fewer amenities or longer commutes. 
• Taxes vary widely by location in Pennsylvania, with some under 3% and others over 13%. Always factor taxes into your monthly payment. 
• Some of PA’s most affordable spots are within 30 minutes of big-city job markets.

Cheapest Places to Buy a Home in Pennsylvania  

Looking to stretch your homebuying dollars without sacrificing quality of life? Pennsylvania offers a wide range of cities and towns where housing is significantly more affordable than the national average.  

We’ve done the research for you and have the complete list of the cheapest places to buy a home in Pennsylvania. Here are your choices (and they’re lovely!): 

McKeesport  

McKeesport is often considered one of the cheapest places to buy a home in Pennsylvania, thanks to its low housing prices and proximity to Pittsburgh. For buyers seeking an affordable place without straying too far from job opportunities and essential services, this city delivers substantial value.  

Quick Facts about McKeesport 

• Cost of Living: 12% lower than the national average 

• Median Home Price: $94,595  

• Average Property Tax: 3.05%  

Located just 12 miles southeast of downtown Pittsburgh, McKeesport gives residents access to the region’s job market, healthcare, and cultural offerings, without the steep price tag.  

As one of the more budget-friendly housing markets in the state, it’s especially appealing to first-time buyers and retirees. And with ongoing redevelopment efforts focused on public infrastructure, green spaces, and local services, McKeesport continues to attract people looking to be part of a close-knit, resilient community with room to grow. 

Oil City  

Oil City is a historic riverside town once at the heart of America’s early oil boom, nestled at the bend of the Allegheny River.  

Quick Facts about Oil City 

• Cost of Living: Approximately 3% below the national average  

• Median Home Price: $97,957  

• Average Property Tax: 3.45%  

Today, it’s a quiet community defined by Victorian architecture, nearby state parks, and a revived sense of identity anchored in heritage tourism and small-town culture. Oil City continues to draw retirees, value-minded buyers, and anyone wanting character, calm, and affordability.  

Its deep housing affordability attracts many; we’ve found that even entry-level homes are priced well below state and national averages.   

The town also offers a charming small-town vibe centered on oil-heritage museums, Victorian downtown storefronts, and peaceful riverside parks.  

With easy access to outdoor recreation, seasonal festivals, and a slower pace of life, Oil City remains one of the most affordable places to buy a home in Pennsylvania, especially for those seeking a quieter, more rooted lifestyle. 

Johnstown  

Imagine living in Johnstown (nicknamed Flood City), a once-booming steel and coal hub that’s now evolving into a quiet, close-knit community with growing opportunities in healthcare, education, and tech-driven defense support.  

Quick Facts about Johnstown 

• Cost of Living: Approximately 10% below the national average  

• Median Home Price: $98,857  

• Average Property Tax: 13.16%  

With historic neighborhoods, riverside parks, and affordable living, Johnstown appeals to retirees, first-time buyers, and families seeking real value in a small city with renewed momentum.  

We’ve noticed that people continue to move here for the extremely low home prices, which make ownership accessible even on modest incomes.   

A small-town atmosphere paired with employment growth in healthcare and defense tech, and a sense of place grounded in rich history, riverside amenities, and community revitalization make it a top choice. It’s one of the cheapest places to buy a home in Pennsylvania, with long-term potential for those who value affordability and resilience. 

Bradford 

Bradford is a historic oil boomtown turned close-knit mountain community, nestled in the scenic Allegheny Mountains of northern Pennsylvania. 

Once driven by oil refineries and railroad lines, it now offers a peaceful pace of life steeped in Victorian charm, university spirit, and a strong sense of heritage. Whether you’re a first-time buyer, retiree, or simply seeking small-town comfort with character, Bradford delivers surprising value in a uniquely livable setting. 

Quick Facts about Bradford 

• Cost of Living: 17% less expensive than the U.S. average 

•  Median Home Price: $108,339 

•  Average Property Tax: 3.94% 

People continue to move to Bradford for its affordable housing options that support modest incomes, its historic downtown and community pride, and the employment opportunities available through the University of Pittsburgh at Bradford, nearby healthcare providers, and iconic manufacturers like Zippo and Case.  

Bradford blends past and present into a town where legacy and lifestyle coexist. 

Pottsville  

Pottsville is a city that once thrived during America’s early coal & oil eras, now rediscovering itself through historic streets, local breweries, and a quiet riverfront setting.  

As Schuylkill County’s scenic spot, it offers small‑town appeal with access to growing education, healthcare, and manufacturing sectors, ideal for homebuyers who value affordability without sacrificing community charm.  

Quick Facts about Pottsville 

• Cost of Living: Approximately 18% below the national average 

• Median Home Price: $144,676  

• Average Property Tax: 4.20% 

People continue to move here for its budget-friendly housing, local traditions and festivals, the Yuengling brewery, and steady access to jobs in education, healthcare, and light manufacturing. Pottsville makes an ideal home base for first-time buyers and households looking for value, character, and connection in Pennsylvania’s heartland. 

Munhall 

For those seeking the most affordable place to buy a home in Pennsylvania without compromising on location or quality of life, Munhall strikes an ideal balance.   

Just south of Pittsburgh along the Monongahela River, Munhall blends neighborhood charm, affordability, and accessibility, making it a hidden gem for buyers seeking suburban ease near urban opportunity.  

Quick Facts about Munhall 

• Cost of Living: Approximately 6% below the national average 

• Median Home Price: $148,473 

• Average Property Tax: 3.42% 

Once shaped by the steel industry, the borough has transformed into a quiet, close-knit community with leafy streets, revitalized riverfront spaces, and a strong sense of local pride.  

Many first-time buyers and retirees are drawn here for its affordability and short commute to Pittsburgh’s growing job market. Residents enjoy lower home prices, solid public amenities, and a suburban lifestyle just minutes from downtown.  

With continued investment in its riverfront district and easy access to Pittsburgh’s healthcare, tech, and education hubs, Munhall continues to attract homebuyers who value community connections and long-term livability. 

West Mifflin  

West Mifflin offers a compelling balance of affordability and livability, making it not only one of the cheapest places to buy a home in Pennsylvania, but also one of the most practical for long-term homeowners.  

Located just southeast of Pittsburgh, the borough delivers a comfortable suburban feel with easy access to major employers like UPMC and Pittsburgh International Airport. Residents enjoy strong job access without paying the premium of urban real estate. 

Quick Facts about West Mifflin 

• Cost of Living: 8% lower than the national average 

• Median Home Price: $162,682 

• Average Property Tax: 3.33% 

People keep moving here for excellent schools and family-friendly neighborhoods, green spaces and local parks, and the charm of living near attractions like Kennywood. West Mifflin is the kind of area where quality of life and long-term value converge. It’s ideal for those who want walkable, amenity-rich living near Pittsburgh, without the premium price tag. 

Erie  

Imagine waking up near the shores of Lake Erie, with access to seven miles of beaches, scenic parks, and a downtown that’s quietly coming back to life. Erie (the “Gem City”) draws retirees, young buyers, and anyone longing for a solid value in Western PA with small‑city vibes.  

It’s a place where shipping history meets affordable real estate, coffee shops sit beside maritime museums, and job opportunities are growing in healthcare, insurance, and biofuels. 

Quick Facts about Erie 

• Cost of Living: 19.2% lower than the U.S. average 

• Median Home Price: $194,678 

• Average Property Tax: 3.63% 

People keep moving here for affordable housing that doesn’t feel remote, cold snowy winters & warm lakeside summers, as well as a strong sense of local identity. With access to Presque Isle beaches, festivals, and a walkable city core, Erie offers small-city living that feels both grounded and full of potential. 

Scranton  

Scranton, famously dubbed “The Electric City,” has evolved from its coal town roots into a growing hub of creativity and livability. With historic buildings, an expanding arts scene, and a strong sense of community, it’s a place where affordability meets revitalization. 

Many consider Scranton one of the cheapest places to buy a home in Pennsylvania, not just for the price tag, but for the quality of life that comes with it. 

Quick Facts about Scranton 

• Cost of Living: 10% below the state average and 9% lower than the national average 

• Median Home Price: $200,000 

• Average Property Tax: 3.93% 

People keep moving here for the vibrant downtown filled with breweries and festivals, accessible home prices that stretch your buying power, and a diversified local economy with jobs in healthcare, education, and tech, all within reach of Northeastern PA’s scenic backdrop. 

Williamsport  

Williamsport, the “River Town”, is known for its historic charm, community festivals, and a tight-knit downtown adjacent to the Susquehanna River.  

Once home to the birthplace of Little League, Williamsport blends affordable mid-sized cities with regional hospital systems, a university presence, and plenty of green space. It attracts families, retirees, and budget-conscious buyers looking for Pennsylvania character without the big-city price tags. 

Quick Facts about Williamsport 

• Cost of Living: 1% lower than the state average and 1% higher than the national average 

• Median Home Price: $203,082  

• Average Property Tax: 3.3%
    

People love Williamsport for its small-city feel, complete with community events, riverfront trails, and historic districts, as well as access to regional healthcare, educational institutions, and low commute times in a convenient mid-sized market. 

Pittsburgh   

Pittsburgh is a city of reinvention—once the heart of America’s steel industry, it has evolved into a dynamic hub for tech, healthcare, education, and finance. And it’s surprisingly more affordable than most major U.S. cities. 

Known as the “City of Bridges,” Pittsburgh blends historical grit with modern innovation, offering vibrant neighborhoods, a thriving arts and dining scene, pro sports, and access to green, walkable spaces.  

What makes it one of the best places to buy a home in Pennsylvania is its unique ability to deliver big-city perks at a fraction of the cost you’d find in coastal metros. 

Quick Facts about Pittsburgh 

• Cost of Living: Approximately 2% below the national average 

• Median Home Price: $243,074 

• Average Property Tax: 2.30% 

People move to Pittsburgh for its culturally rich, affordable lifestyle, with a diverse economy, major universities, and world-class hospitals fueling opportunity. Whether you’re a young professional, a growing family, or a retiree looking for energy and ease, Pittsburgh delivers strong value without sacrificing urban excitement. 

Harrisburg 

Pennsylvania’s state capital, Harrisburg, offers the convenience of big-city infrastructure with the affordability of a smaller metro.  

Nestled along the Susquehanna River, the city delivers walkable neighborhoods, regional cultural events, and stable government-led job sectors. It’s drawing families, first-time buyers, and professionals who want affordability without giving up access to city amenities. 

Quick Facts about Harrisburg 

• Cost of Living: Approximately 4% higher than the national average 

• Median Home Price: $259,733 

• Average Property Tax: 2.83% 

People continue to move here for its stable, government-anchored job market, more affordable home prices compared to larger East Coast cities, and strong community appeal.  

From the Pennsylvania Farm Show to its easy commutes to Philadelphia and Baltimore, Harrisburg is a place where civic charm, career stability, and quality of life meet, making it one of the best areas in Pennsylvania to buy a home. 

York  

York, nicknamed The White Rose City, is a historic town that’s redefining itself with murals, festivals, and a growing creative and manufacturing economy.  

Located in south-central Pennsylvania, York offers affordable housing, community charm, and easy access to the larger Harrisburg-York metropolitan area. It appeals to first-time buyers and growing families looking for a real sense of place without big-city costs. 

Quick Facts about York 

• Cost of Living: 5% lower than the state average and 3% lower than the national average  

• Median Home Price:  $269,816 

• Average Property Tax: 3.38% 

York features a walkable downtown filled with historic architecture and arts culture, and is centrally located, with Harrisburg, Lancaster, and even parts of Philadelphia within easy reach.  

York’s balance of character and cost makes it one of the most affordable places to buy a home in Pennsylvania for those seeking connection, culture, and convenience. 

Reading  

Reading may be known as the “Pretzel Capital,” but this city is also rising with renewed energy in the form of public art, local festivals, and a downtown on the upswing.  

Nestled in the heart of Berks County, Reading offers a prime location with easy access to the Lehigh Valley, Lancaster, and Philadelphia, while avoiding the high cost of living found in larger metropolitan areas. It has become a practical choice for first-time buyers, families, and professionals who want value without compromising vibrancy. 

Quick Facts about Reading 

• Cost of Living: 6% lower than the state average and 5% lower than the national average 

• Median Home Price: $274,900 

• Average Property Tax: 4.37%  

People keep moving to Reading for its lower-cost housing, revitalizing arts and food scene, and central location that connects them to major job markets. 

Best Areas in Pennsylvania To Buy a Home by Lifestyle Stage 

Not every homebuyer is just looking for the cheapest deal; some are looking for that sweet spot where affordability meets livability.  

No matter what stage in life you’re entering, sit back and relax because we’ve found some of the best areas in Pennsylvania to buy a home, based not only on price but also on quality of life, job access, and long-term value: 

Best Areas To Live in Pennsylvania for Single Adults 

Whether you’re building your career, embracing your independence, or just love the freedom of solo living, Pennsylvania has cities that offer vibrant communities, walkable neighborhoods, and tons of things to do.  

Reading 

Reading is one of the best places in Pennsylvania for single adults, thanks to its low cost of living, growing downtown scene, and strong community services. It offers an affordable path to independence, with rental prices and home values far below state and national averages, making it ideal for solo living without financial strain. 

What makes Reading especially attractive for singles is its emerging arts and food scene, walkable neighborhoods, and improving job market in healthcare, logistics, and education. 

Public transit access and proximity to larger cities like Philadelphia give it a strategic edge for career-driven individuals or those who enjoy weekend getaways. Plus, the city’s investment in community revitalization means more opportunity, connection, and things to do for those navigating life independently. 

Pottsville 

Pottsville stands out as a smart choice for single adults in Pennsylvania who want affordability without isolation.  

What makes Pottsville appealing for singles is its small-town charm paired with urban essentials—you’ll find coffee shops, breweries, and local restaurants within walking distance. It’s a great place for those who enjoy quieter surroundings but still want a tight-knit community and access to outdoor recreation. 

Charleroi 

Charleroi, tucked along the Monongahela River in Washington County, is an ideal place for single adults seeking a quiet, affordable lifestyle with access to Pittsburgh’s job market.  

This historic river town offers some of the most affordable housing prices in the region, according to real estate data from Zillow and regional market sources, making homeownership or renting incredibly accessible for individuals living alone. 

Charleroi appeals to singles who want small-town simplicity without being isolated. Its walkable downtown is dotted with local shops, cafés, and a weekly farmers market, while the surrounding region offers easy access to hiking trails, kayaking, and green spaces—perfect for weekend adventures or relaxed routines. 

Oil City 

Oil City, nestled along the Allegheny River in Venango County, offers single adults a quiet and highly affordable place to call home, especially for those seeking personal space, creativity, and a slower pace of life.  

For single adults, Oil City strikes a rare balance: a peaceful atmosphere, access to nature, and a tight-knit creative community fueled by initiatives like the Oil City Arts Revitalization program. With galleries, coworking spaces, and riverfront parks, it’s one of the best areas in Pennsylvania to buy a home if you’re craving solitude without isolation. 

Best Areas To Live in Pennsylvania for Newlyweds 

Starting your life together calls for a place that balances affordability, opportunity, and charm; Pennsylvania delivers. Whether you’re looking for a lively downtown, cozy suburb, or scenic small town, the state offers great spots where newlyweds can build a future: 

Wilkinsburg  

Wilkinsburg is a community in transition, making it an intriguing option for homebuyers looking for value, potential, and proximity to Pittsburgh. Just a few miles east of downtown, Wilkinsburg offers historic architecture, a strong sense of community pride, and improving access to transit, including easy connections via the East Busway.  

For those willing to invest in an evolving neighborhood, it presents a rare opportunity to own a home close to the city at a fraction of the cost. 

Local nonprofits, community groups, and small businesses are working to restore the area’s housing stock and public spaces, sparking fresh interest in its tree-lined streets and character-filled homes. 

If you’re looking for a place where your dollar goes further and where you can be part of something growing, Wilkinsburg offers both affordability and the chance to help shape a community’s next chapter. 

Johnstown 

Johnstown offers an affordable and peaceful setting that’s perfect for newlyweds looking to build a life together. Tucked in the scenic Laurel Highlands of southwestern Pennsylvania, the city combines small-town charm with just enough modern convenience to feel connected without the high cost of bigger metros. 

Quiet neighborhoods, easy access to outdoor recreation, and a strong sense of community make it a great place to settle in and enjoy married life at a relaxed pace. Whether you’re enjoying weekend hikes, exploring local festivals, or investing in your first property together, Johnstown offers a meaningful and manageable place to begin your journey as a couple. 

Sharon 

Sharon blends small-town coziness with incredibly low housing costs, making it a hidden gem for newly married couples.  

This western PA town offers a calm, community-oriented vibe where couples can buy a home, personalize it, and enjoy low monthly living expenses. With charming downtown shops, art galleries, and peaceful neighborhoods, Sharon provides the kind of setting where it’s easy to focus on each other while building a shared life. 

It’s also close enough to larger cities for commuting or weekend trips, but far enough away to keep daily costs low. 

Best Areas To Live in Pennsylvania for Starting a Family 

Finding the right place to raise a family means more than just affordable housing; it’s about safety, strong schools, supportive communities, and room to grow. Pennsylvania offers a variety of family-friendly cities and suburbs where young families can build a solid foundation: 

Lancaster 

Lancaster blends small-town warmth with modern convenience, making it one of the best places in Pennsylvania to start a family. Known for its rolling farmland, top-rated healthcare systems, and strong sense of community, Lancaster offers a slower pace of life without sacrificing opportunity. 

Families are drawn here for the excellent public and private school options, low crime rates, and wide range of family-friendly activities, from parks and farmers markets to museums and seasonal festivals.  

The city’s affordability compared to nearby metros allows first-time homebuyers to enter the market with confidence, while the mix of historic homes and newer builds offers something for every taste and budget. 

With its walkable downtown, local businesses, and easy access to jobs in healthcare, education, and technology, Lancaster gives families the space, stability, and support they need to grow and thrive. 

Bethel Park  

Bethel Park, PA stands out as one of the best places to buy a home in Pennsylvania thanks to its exceptional balance of affordability, safety, and long-term value.  

Recently named the #1 best place to move to, Bethel Park is recognized for its strong home-to-income ratio, low crime rates, and livable suburban charm. The area is remarkably safe, boasting some of the lowest property and violent crime rates in Pennsylvania, making it a top choice for families and retirees alike. 

Located just seven miles from downtown Pittsburgh, the borough offers easy access to the city via light rail, while maintaining the relaxed atmosphere of a suburban enclave.  

Residents enjoy walkable neighborhoods, local parks like South Park, and a close-knit community feel, all without the premium pricing often associated with proximity to a metro area. For homebuyers looking to invest in both comfort and value, Bethel Park delivers on all fronts. 

Baldwin  

Nestled just a few miles southeast of Pittsburgh, Baldwin Borough combines suburban comfort with the perks of city access, all at a notably lower price. As one of the best areas to live in Pennsylvania for starting a family, Baldwin offers tight-knit neighborhoods, good schools, and green streets that make daily life feel easy and connected. 

Here, suburban living doesn’t come with urban pricing. Home values and rents remain affordable, even within the broader Pittsburgh metro area. 

Families also benefit from strong local schools, community parks, and easy access to job hubs, all while enjoying a walkable and relaxed pace of life that makes Baldwin feel like home. 

Philadelphia  

Philadelphia is more than Pennsylvania’s largest city; it’s also one of the best areas to live in Pennsylvania for starting a family! For homebuyers, Philly offers a wide range of housing options, from charming rowhomes and brownstones to new condos and suburban-feeling neighborhoods within city limits.  

What makes Philly stand out is its blend of culture and convenience. You get world-class museums, universities, and restaurants, all without the sky-high housing costs of other East Coast cities.  

Plus, strong public transportation, a booming healthcare and education sector, and historic charm make it a city where long-term value and everyday livability align. For those seeking both diversity and opportunity, Philadelphia offers an exciting and attainable place to call home. 

Best Areas To Live in Pennsylvania for Retirees 

Pennsylvania continues to be a top choice for retirees, and it’s easy to see why. With its blend of small-town charm, scenic beauty, affordable housing, and access to quality healthcare, the state offers a comfortable and enriching retirement lifestyle. Here are some of our best picks for places to live for Pennsylvania retirees: 

Elizabeth   

Situated about 15 miles south of Pittsburgh along the Monongahela River, Elizabeth is a small borough that blends tight-knit community character with notable affordability. 

Its walkable layout, local shops, and easy access to regional job centers and healthcare systems like UPMC make it a smart choice for those who want quiet suburban life without giving up proximity to essential services.  

Elizabeth offers low-cost homeownership and rentals, safe neighborhoods, and a strong sense of community, enhanced by memorial parks and family-friendly events. For retirees prioritizing long-term value, livability, and ease of access to Pittsburgh’s resources, Elizabeth delivers comfort and connection at a practical price point. 

Plum  

Tucked in Allegheny County just northeast of Pittsburgh, Plum offers a spacious suburban escape that’s packed with neighborhood charm and affordability.  

Known for its wide green areas and quiet residential streets, the borough attracts families, professionals, and retirees who want convenient access to Pittsburgh’s amenities without the urban prices that often accompany them.   

What sets Plum apart is how much value you get for your money. Homes in this area tend to be more affordable compared to other parts of the state, yet the area still supports stable household incomes and a robust local economy. 

With its balance of affordability, quality of life, and proximity to Pittsburgh’s industries, Plum remains a smart and desirable choice for long-term homeownership. 

Whitehall  

Whitehall is one of Pennsylvania’s hidden gems for homebuyers who want suburban ease with city convenience. Nestled just south of Pittsburgh, this community offers a peaceful residential feel while still being close to the cultural, educational, and professional opportunities of the city.  

It’s a place where tree-lined streets, walkable neighborhoods, and a variety of parks create a welcoming atmosphere for families, young professionals, and retirees alike. 

What makes Whitehall stand out is its livability. You’ll find well-maintained homes, local amenities like libraries and community centers, and a strong sense of safety and pride among residents.  

New Castle  

New Castle, located in western Pennsylvania near the Ohio border, is a hidden gem for homebuyers looking for space, affordability, and small-town charm. Once a thriving industrial hub, the city is now experiencing a quiet resurgence, with renewed attention to historic preservation, community development, and quality of life. 

What makes New Castle one of the best places to buy a home for retirees? It’s incredibly affordable, and the city offers a rich architectural landscape, from century-old homes to newer builds, all set within quiet neighborhoods and tree-lined streets.  

Its location is also a major plus. Just an hour from both Pittsburgh and Youngstown, OH, New Castle offers residents easy access to entertainment while keeping daily living peaceful and manageable.  

Add in a sense of local pride, ongoing revitalization efforts, and a welcoming pace of life, and it’s easy to see why more people are seeing New Castle as a smart, value-rich place to put down roots. 

How Do Energy Costs Vary by Region in PA? 

Energy costs across Pennsylvania vary from one region to another due to several key factors: utility provider territories, population density, infrastructure age, and access to energy sources.  

These differences mean that even two homes with similar energy usage can have very different energy bills depending on where they’re located.  

Urban areas like Philadelphia typically benefit from more competitive energy markets and modern infrastructure. This helps keep rates relatively stable, especially where consumers have more options to choose from regulated or alternative energy suppliers. 

In contrast, Western and rural parts of Pennsylvania, including areas around Pittsburgh or the northern counties, often have older utility infrastructure and fewer energy providers.  

This can lead to higher delivery costs or limited energy choices, both of which impact what you pay on your monthly bill.  

Additionally, the climate and type of home construction in each region play a role. Colder northern and western areas may rely more on electric or natural gas heating during long winters, especially in older homes that are less insulated, driving up energy usage and costs. 

Average Natural Gas Cost in PA 

In Pennsylvania, the average residential natural gas price is around $16.20 per thousand cubic feet, according to the YCharts.  

This matters because natural gas is one of the main ways people heat their homes in PA, especially during the long, cold winters.  

While the price can vary depending on your location and utility company, PA’s average cost is pretty typical compared to other states—not the cheapest, but not the most expensive either. 

Tips For a First-Time Home Buyer in PA  

If you’re preparing to buy your first home, it’s important to go beyond just browsing listings. These tips for a first-time home buyer in PA will help you plan smarter, budget better, and feel more confident throughout the process: 

1. Start by reviewing your credit report and resolving any issues early—your credit score has a direct impact on your mortgage rate and your ability to get approved. 
2. Get pre-approved for a mortgage to clearly understand your price range and budget realistically, including expected monthly utility and housing costs. 
3. Explore programs like PHFA, K-FIT loans, FHA/VA options, and local county grants, which can help reduce your upfront down payment and closing costs. 
4. Understand the true cost of closing—these fees usually run between 2% and 5% of the home’s price, so plan ahead to avoid surprises. 
5. Research property taxes in your target area, since tax rates vary widely across Pennsylvania and can significantly affect your monthly housing expenses. 
6. Choose a location that supports your lifestyle by factoring in commute times, access to schools and jobs, and even local utility rates that may impact your monthly bills. 
7. Work with a trusted local realtor who understands neighborhood trends, energy costs, and how to support first-time buyers navigating the PA market. 
8. Always schedule a home inspection—this helps uncover hidden repair or maintenance issues that could become costly after closing. 
9. Plan for home repairs and energy efficiency upgrades, especially if you’re buying an older home that may need new windows, HVAC updates, or better insulation. 
10. Look into local and municipal incentives, which often stack with state-level programs and can provide added financial support for first-time buyers. 

First Home Buyer Programs in PA 

Buying your first home in Pennsylvania? These programs can help make it more affordable. From down payment assistance to special low-interest loans and grants, the state offers a variety of options to reduce upfront costs and make homeownership more accessible, especially for first-time buyers. Below are some programs in PA for first-time home buyers: 

Philly First Home Program 

If you’re buying your first home in Philadelphia, the Philly First Home program could give you up to $10,000 (or 6% of the purchase price) to help with your down payment or closing costs. It’s a grant—not a loan—but there’s a catch: you’ll need to stay in the home for at least 15 years. If you move or refinance before then, you’ll need to pay it back. Funding is limited, so it’s best to apply early. 

HFA Preferred (Lo MI) 

Worried about the cost of private mortgage insurance (PMI)? If your down payment is less than 20%, PMI can really add up. The HFA Preferred (Lo MI) program helps first-time buyers like you by lowering the cost of PMI, making monthly payments more manageable, especially if you’re buying with a small down payment. 

PHFA (Pennsylvania Housing Finance Agency) 

PHFA offers more than just loan options—it connects you with free homebuyer education and counseling so you feel confident about your purchase. If your credit score is under 680, you’ll need to complete a course before your loan closes, but it’s actually helpful in understanding how much you can afford and how the home loan process works. While PHFA doesn’t issue the mortgage itself, it works with approved lenders to make the process smooth. 

Grants & Down Payment Assistance via AHCO 

If you’re feeling overwhelmed by upfront home costs, AHCO (Affordable Housing Centers of PA) partners with multiple programs to help reduce your principal, cover your down payment, or assist with closing costs. Their team helps you understand what’s available and can even help you apply. 

First Front Door Program – Up to $5,000 

For every $1 you put toward your home purchase, this program will give you $3—up to $5,000 total. It’s a great boost for down payments or closing costs. As long as you stay in your home for five years, you don’t have to pay it back. Funding runs out quickly, so act fast. 

How to Buy a Foreclosed Home in PA 

Foreclosed homes can help first-time buyers or budget-conscious families get into neighborhoods they might not otherwise afford. Just be sure to weigh the lower upfront price against potential renovation and utility costs, especially if the home needs upgrades to be energy-efficient. Below are steps on how to buy a foreclosed home in PA: 

Know the Types of Foreclosures 

If you’re looking at foreclosed homes in Pennsylvania, it helps to know the three main stages. Pre-foreclosure means the owner is behind on payments but still owns the home—you might be able to buy directly from them.  

At an auction, the property is sold to the highest bidder, often for cash and without an inspection. If it doesn’t sell, it becomes a bank-owned (REO) home, which is listed through an agent and can usually be financed like a regular house. 

Get Pre-Approved 

Work with a lender early to understand how much home you can afford, especially if the property will need repairs. FHA 203(k) loans are a great option for financing both the home purchase and renovation costs in one mortgage. 

Work With a Local Realtor 

Find a real estate agent who has experience with foreclosures in Pennsylvania. They can help you evaluate home values, identify red flags, and craft a competitive offer that reflects the property’s condition and current market trends. 

Do a Thorough Inspection 

Foreclosed homes are often sold as-is, meaning you’ll be responsible for any repairs. A professional inspection can help you estimate renovation costs, spot structural or safety issues, and avoid major surprises after you buy. 

Be Ready for a Different Timeline 

Foreclosure purchases don’t always follow the same process as traditional sales. Timelines can vary widely—auction sales might move quickly, while REO properties could take weeks or months to close, especially if banks are overwhelmed or short-staffed. 

Is Pennsylvania Cheap To Live In? 

Overall, Pennsylvania offers a relatively balanced cost of living—it’s not the cheapest state in the U.S., but it’s far from the most expensive.  

On average, the state ranks 27th nationwide in terms of affordability, making it a solid option for many types of homebuyers.  

Housing costs tend to be about 6% lower than the national average, which is great news for buyers looking to get more home for their money. However, expenses like utilities and healthcare can run slightly higher than average, which may add up over time. 

The good news? If you choose your location wisely, like in one of the smaller cities or suburbs featured in this guide, you can often offset those higher utility costs with affordable housing, lower property taxes, or even access to energy plans that help stabilize your monthly bills.  

For families, retirees, and remote workers alike, Pennsylvania offers the kind of variety that lets you prioritize what matters most: space, savings, or convenience. 

Finding the right place to call home in Pennsylvania isn’t just about snagging the lowest listing, it’s about understanding the full picture. From local job markets to cost of living, from rent prices to utility bills, every detail plays a role in shaping your long-term financial comfort. 

And one area that can quietly add up month after month? Your energy bill. 

If you’re moving to or already living in Pennsylvania, it’s worth knowing you have the freedom to choose your energy supplier. At Santanna Energy Services, we help homeowners in Pennsylvania take control of their energy costs. Explore energy plans available in your area today!