When a Neighborhood Scares You

(And NOT because it's Halloween)

Roger Blankenship
October 30, 2025 • Estimated Reading Time: 4 minutes

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“Courage” May Not Be Worth It

There are times to confront your fears — and times to get in the car and leave. When a neighborhood scares you in broad daylight, there’s no medal for bravery in real estate investing. Your instincts are trying to tell you something. Listen to them.

Yes, fear can be irrational. But in this business, fear often carries valuable information: about safety, stability, and who your future tenants or buyers will be. When your gut tightens while driving a few blocks around a potential deal, it’s not prejudice — it’s pattern recognition.

Who Lives Here?

Every struggling neighborhood has three groups:

Good people doing their best but lacking the means to move.
Bad actors who exploit the area’s poverty or indifference.
A small group of crusaders — the optimists and reformers trying to turn things around.

If you feel called to join that third group, bless you. The world needs more of them. But if your mission is to grow a business, protect investors’ capital, and sleep well at night, think twice. Being brave in the wrong ZIP code can turn into being broke — or burned out.

It’s Not About Elitism

There’s a difference between judging people and judging risk. Refusing to invest in a dangerous or unstable neighborhood isn’t arrogance — it’s prudence. You can respect the residents, hope for their success, and still choose not to stake your livelihood there.

Real estate investing is already full of variables: interest rates, repairs, regulations, and market cycles. You don’t need to add “personal safety” to the list.

Investor Takeaway

Courage has its place. But when a neighborhood scares you — especially in the daytime — that’s not the place to make a stand. Some properties exist to test your nerve, not your net worth.

Walk away, wish the reformers well, and go find a deal where your instincts tell you to stay.