I don't live in Pittsburgh, but near it (40 minutes away, south).

Getting a house for 130k in Pittsburgh is nigh impossible. Getting one at that price 40-60 minutes away is doable, but you gotta be choosy (there's a LOT of fixer-uppers in the area).

I like the Harrisburg/York area too. Not as bad weather for driving (less mountainous) but a lot of stop lights.

Pittsburgh is my vote. Not just for a house, but for the sights and things to do. Pittsburgh has some cool stuff. Just don't move into Munhall or Mckeesport.