Pros and Cons of Living in Bethlehem

Bethlehem's honest tradeoff is a real, historic identity and genuinely below-average crime, set against meaningfully higher housing costs and a distinctive, two-county property tax mechanic.

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Real advantages

Bethlehem offers a real, historic 'Christmas City USA' identity, the genuinely successful SteelStacks/ArtsQuest redevelopment, Lehigh University's stabilizing presence, St. Luke's University Health Network's real headquarters, crime rates meaningfully below the national average, a real modestly growing population, and a comparatively low combined 1% local Earned Income Tax.

Real tradeoffs

Bethlehem's housing costs run meaningfully above this project's other Pennsylvania Tier A NEPA/Erie markets; its own effective property tax rate runs well above the national median; the city's real Lehigh/Northampton county split adds genuine complexity; and Lehigh Valley International Airport, while growing, remains genuinely modest.

The net read

For buyers prioritizing safety, a real historic identity, or healthcare/education-sector employment, Bethlehem's advantages are real and well-documented. For buyers prioritizing the lowest-cost Pennsylvania housing, Scranton, Wilkes-Barre, and Erie may fit better.

Key takeaways

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Last reviewed: 2026-08-25. Independent research; not financial, tax, or legal advice -- confirm current figures with a local professional before making a decision.