An empty house may not seem like a menacing threat, but looks can be deceiving. As the nation’s foreclosure rates climbed to 2.7 percent (the highest it has been since 1965) the number of vacant houses is soaring. Experts say that one in nine houses in the US is now vacant - a phenomenon which stems from the meteoric rise and then subsequent fall of the housing market (USA today article).

Vacant Homes Lower Property Values
Vacant homes hurt the image of local neighborhoods in several ways. In hard hit areas like Mesa, Arizona, where scores of half-million dollar homes are now deserted, the property values of other neighborhood homes declines. As Richard Y. Nelson, director of the Department of Housing and Community Affairs in Montgomery County, MD says, “The more vacant houses you have, the more negative impact it has on the neighborhood” (Washington Post article).

Vacant homes, with overgrown lawns and trash in the yard, are not just an eyesore but a legitimate concern for neighbors because they lure in criminal behavior. Vandals break into vacant houses to steal copper wiring, illegal squatters move in, and crime can become commonplace in neighborhoods with a high percentage of vacant homes.

For example, in Atlanta, the crime rate rose 33 percent in new but mostly empty suburban areas (CSS article).

How to Combat Property Value Loss
What is being done about the volume of vagrant houses? For one thing, cities are stepping in to take care of the homes. In Trenton, NJ, city officials are asking religious leaders to make their congregations aware of different public and private efforts to help avoid foreclosure. In Lexington, Kentucky the city government is paying out of pocket to keep vacant lawns mowed and the houses maintained.

To combat this problem, Congress passed a giant $5 billion housing bill last year, which creates the Neighborhood Stability Program, or NSP. The bill aims to revitalize neighborhoods suffering from crime and vandalism brought on by vacant and abandoned homes. Here’s some features of the bill:

• Visit NSP for more information on the program.
• Contact your local community, county, or state government about NSP to see what programs are being offered in your community.
• If you live next door to a vacant house, be a watchful neighbor. If you notice any strange people entering the house, notify the police.

If you have experience with declining property values and ways to offset losses, add a comment. Your words help others!