can a neighborhood turn into warzone [or almost a warzone]

Rehabbing, Fix and Flip, Rental Properties
1

i am little concerned of the violence in the city that i have rentals in. so i was wondering whether any city recently went from being good to a war-zone…
i know this is far-fetched but just curious. i am looking at worst case scenario and see what my strategy would be then. do any of you actually work that out, in other words your exit strategy in such situations…

2

Finally I got what you were really asking. Okay, I would go to the police station and read up on the area crime statistics. Is it really going to hell?

If things get really bad you can:

  1. Walk away. Abandon the property. But the city might come after you.
  2. Sell it or deed it to someone else at a bargain rate, with no downpayment someone might bite. Sell it on a wrap or Real estate contract. You could lose your equity.
  3. Stick it out until the market and/or area improve and you can sell.
  4. Trade the property for another in a better area. Make it a good deal for someone.
  5. Just hang on and toughen up. Maybe you just got some buyer’s remorse. Re-think it in 2 years or 5. Carry on.

Sorry, no magic solutions.
Furnishedowner

3

Yes! A neighborhood can turn into a war zone. However, if this is related to your previous post, one murder across town certainly does not indicate a war zone. I would define a war zone as an area that has FREQUENT murders and where it’s literally not safe to walk down the street at any time of the day or night. Very few areas are like that.

Low income areas have significant crime - that’s a given. People are “low income” because they frequently and consistently make bad choices. Those poor choices extend not only to being too lazy to work but also to committing crimes. That’s just part of the business.

The increase in crime that you’re seeing could be from a couple of factors. First, street crime dramatically increases in the summer (especially when it’s hot). That happens every year and is perfectly normal. The second factor is the economy. As the economy has deteriorated, many low income tenants are squeezed to the breaking point. Even if they don’t turn to crime to make money, the stress may cause them to become violent. The bottom line is that there are many reasons for an increase in violence and it usually has nothing to do with the neighborhood turning into a war zone.

Good Luck,

Mike