If you sign into Paypal, can you see the payment as pending? That's standard because Paypal often has a 21-day hold period to ensure the buyer has the item and is happy before they release the money. Unfortunately, Paypal does not indemnify you if there is not shipping as you can't prove they got the item.
There are 2 other variations. If the buyer pays from their bank account and does not have a credit card on file, Paypal will consider this an e-check and not clear the original payment for 3-5 days. if the payment fails to go through, it is reversed. I'm sure these show up differently in Paypal.
The other variation is a common scam. The buyer sends an email saying they've paid when they haven't and the clue to you is that when you sign into Paypal you see nothing at all.
If you are a new seller it will take 21 days for the money to be credited to Paypal. If Paypal says "payment pending" the buyer made a payment. You can tell buyer he can pay when he picks up.
"When will it actually go into my balance?"
Never if you allow local pickup and don't ship. You're about to find out what an Item Not Received claim is.
sorry but that is an IT and Ebay query not a small biz query
So I am selling an item on ebay for local pick up and somebody purchased the item via paypal (which is ok with me) and now it says that the payment is pending. When will it actually go into my balance? When I go on ebay, it says that I need to ship the item but when I posted the item for sale I selected local pick up only, no shipping. Do I let the buyer pick up the item and then the buyer confirms it or how does it work?