Renewing a Neighborhood: The Power of Renovations

Real estate is one of the best investments you can make if you know what you’re doing. But like all investments, it can also be risky. A good investment isn’t just good for the buyer’s wallet, it can be good for the surrounding neighborhood. When investors buy property in an area that’s fallen on hard times, renovations begin as the investor risks their own finances to renew a neighborhood. The neighborhood improves by the renovated properties, making it more attractive and safer.

Not only is renovation good for the local economy, but renovations have been known to lower crime rates in the surrounding area. Take this Pittsburgh community for example. According to an article from The Guardian, the crime rate decreased after properties were sold to new management. With increased development and renovations on abandoned properties, neighborhood residents noticed a decrease in criminal activity and police activity.

Philadelphia experienced a similar change with the “Doors and Windows Ordinance” of 2011. According to Buildings, making simple improvements like fixing broken windows and doors on abandoned facilities resulted in: 1) 19% decrease in assaults; 2) a 39% decrease in gun assaults; 3) a 16% decrease in nuisance crimes (including vandalism, public drunkenness, and disorderly conduct). These decreases happened over a single year even though only 29% of buildings in Philadelphia followed the ordinance.

Renewing neighborhoods through renovations is not only possible but very powerful. Though it is a risk for investors, the payoff can be handsome and the renovation has a profoundly positive impact on the residents in the area. With the right investors, entire neighborhoods can be renewed one house at a time. MJH Homes, LLC is one of these investors. If you know of properties that need renovation, we are always interested. Our investor network is nationwide. We can move quickly and get the project underway.