Police were called around 7 a.m. to an apartment building on the 1300 block of North 15th Street near Master Street.
There were 11 students inside at the time of the robbery. Six female residents, three of their boyfriends and two female friends were sleeping over.
The victims spoke to Action News just hours after the incident.
"I think the sad part is, we all talked in the room, we all realized once they came into the room, everyone was kind of like 'oh, it's our time now,'" one student said.
They said they were woken up by a knock at the door.
Out front were the two masked suspects. Philadelphia Police Captain Michael Goodson said at least one had a gun.
One of the roommates let the two men in the apartment thinking they were young men who probably knew someone inside, the students told Action News.
"We were all just woken up. There was a guy with a gun. He came into a couple of our rooms. He made one of us go and wake up the rest of the roommates with the guy with the gun," a second student said.
However, the students soon figured out the men were not in the right location.
The suspects kept asking the students, "Where are the drugs? Where are the drugs?"
The suspects were apparently told this was a home they would be able to find drugs and money. But that was not the case.
The armed robbers proceeded to lock all 11 students in the basement.
"We were all kept in the same room together for over an hour they were there," the second student said.
All the victims were unharmed but shaken as they were forced to hand over their cell phones, debit cards along with their PIN numbers and car keys.
"You never think it's going to happen to you, but when it does it's like a shock," the second student said.
During the time they were locked in the basement, some of the victims were able to get a hold of their laptops. They messaged anyone they could think of to call 9-1-1 and report that they were being held up.
Police say the pair stole a 2015 Lincoln MKZ sedan with a Pennsylvania license KMF1560.
Investigators were canvassing the area for surveillance footage.
SEE ALSO: Philadelphia police investigating 2nd home invasion involving Temple students
Police investigating 2nd home invasion involving Temple student
Police are also investigating a separate home invasion case that happened on Wednesday.
Kayla Barone, a sophomore at Temple University, says she was sleeping early Wednesday morning when three intruders in masks broke into her home near 18th Street.
She says she tried to call and warn her two other roommates, but they were asleep.
Next, she called 911. By then the masked men had made their way downstairs.
At gunpoint, they locked her two other roommates in one room and forced Barone to hand over her cash, cards, cellphone and other valuables.
They left abruptly once they unlocked her phone and realized Barone already called 911.
"Violence against one of us affects all of us. Any incident affecting a member of our community is treated with the utmost care and concern," Jennifer Griffin, Temple University VP of Public Safety, said in a statement Friday.
Griffin's statement reminded students about on-campus housing options, and its "Best Nest" program to help students and families find off-campus housing that meets certain safety and security criteria.