house located in Historic Bethlehem, Bethlehem, Pennsylvania
Photo: Photos by Herb Engelsberg
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Historic Bethlehem, Bethlehem, Pennsylvania

Home to America's second-largest steel producer until Bethlehem Steel closed, in 2003, this city of 72,000 is about 70 miles north of Philadelphia and 81 miles west of New York City. Many retired millworkers still live here, these days next door to 30- and 40-something professionals who've chosen Bethlehem for its almost-sane metropolis commute. Lehigh University and Moravian College are both here, contributing to a thriving historic-district arts scene that includes free concerts, house and garden tours, and monthly art shows inside the glass walls of the town hall rotunda. On Main Street, the Moravian Bookshop, the country's oldest continuously operating tome seller, stands among well-traveled restaurants and coffeehouses. Historic Bethlehem has a community feel: Neighbors attend town meetings, walk to the single-screen Boyd Theatre for a flick, and catch their dinner at Monocacy Creek, a trout stream off the Lehigh River.

The Houses
The neighborhood is stocked with two-and-a-half- and three-story Italianates, Queen Annes, Second Empires, and Gothic Revivals built near the turn of the 20th century. Got elbow grease? One of these ornate Victorians can be had starting at —300,000. A fully restored one is more likely to ring up for —600,000 or more. Historic Bethlehem also has rowhouses in the —175,000 range, and wherever you stroll, history abounds. As local Realtor Barbara Fraust says, "You can traverse centuries in eight blocks."

Why Buy Here?
The Keystone State is known for its affordable living, for families and empty nesters alike. Retiree alert: You won't pay state tax on pension income in good old Pennsylvania.

Among the best for: The Northeast, Waterfront, College Towns, Retirees, Family Friendly, Victorians, Walkability
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