The gay neighborhood is Queens Village (no, I am not making that up). It’s just south of South Street. I suspect rent may be a little high (though not in the $900 range). South Street used to be cool, but is now just a place that attracts a lot of drunken frat boys on Fridays and Saturdays. And Mardi Gras on South Street has become ridiculous; we’re giving New Orleans a run on who produces the most trash.
Olde City is the artsy district; lots of galleries and cool old buildings, and fun on First Fridays.
The farther outside the city you live, the closer you can get to the $140K price for houses. Look in the Delaware County area (Media/Springfield/Upper Darby are all on the train lines).
If you live in the burbs, you need a car. There’s really no rail system outside the city, just buses. If you live in the city, you still don’t have much rail or subways, but Philly is a good walking city. Having a car means either (a) paying for parking, or (b) killing yourself looking for a parking space. Either way, you get your windows broken a lot (I had mine broken 3 times in 2 years).
The two main subway lines are the Broad Street Line (North/South) and the Market/Frankford Line (East/West). They hook up with regional rail (see http://www.septa.org for details). With the Septa lines, you can make connections to New Jersey Transit (and, ultimately, New York), and DARPA (Delaware’s transit system). The subway and bus cost $1.50, or you can buy weekly or monthly passes (many companies subsidize these costs). Regional rail costs vary according to distance. You can take the R7 from 30th Street Station in Philly to Trenton NJ for $8 round trip; another $12 will get you to Penn Station in NYC. Compare that to $60 round trip on Conrail.
Philadelphia has a city wage tax. If you live and work in the city, you pay the most. These days, more people seem to be both living and working in the city (like me!). As a former worker in the city, moving to a job in the burbs was an instant 4.3% raise.
For info on the Philly gay and Lesbian community, visit the PGN (Philly Gay News) website at http://www.epgn.com/. This weekly newspaper is your best source of information on gay happenings in town.
It’s been too long since I rented in Philly, so I’m not sure what stuff is going for now. 10years ago I rented a large one-bedroom on 9th and South for $550/month. Fairmount (near the Phila Museum of Art) is nice, as is Society Hill. Apts out by the U of PA are another possibility, but the neighborhoods around there go from charming to scary within blocks of each other. Look up and down Pine Street from 4th to 20th, too.