Impact of Homeless Shelter Plans on Real Estate Prices

[Gus Joseph]

Hey all,

I'm looking to house hack a single-family house/condo in the Austin, TX area however I learned that the city just approved a new homeless shelter to be built very close to where I was looking to buy. Does anyone know how this may impact the price/value of any of the property in the surrounding neighborhoods?

For reference, there is another homeless shelter in Austin (more east-central) that is literally overflowing at all times with homeless people, so I assume the new South Austin shelter would eventually look similar to that.

Common sense would say that obviously it would decrease the value of homes (due to security concerns, etc.), but I was curious if there may be an opportunity there to get a good deal on some property.

Thanks!

[Aaron Gordy]

@Gus Joseph That is a very intriguing question. The homeless problem is dominating the news nowadays. The mayor is out visiting cities such as Seattle right now to figure out what to do. Since they are allowing the homeless folks to set up tents in the open, ben white at congress going west looks rough. There are many business folks that are raising holy hell. I suspect that we are on the verge of some sorta tipping point. As recently as two days ago, there was a homicide in broad daylight when a homeless guy attacked another one. There have been other incidents too. There was an article in the local paper about a lady trying to sell her house w/o realtor and had found a homeless couple inside it. They had the refrigerator full of groceries, the air conditioner going full blast and beer cans everywhere. Good grief!!  I am also keeping my eye on the entire south austin homeless shelter being built. Maybe the negativity will drive down prices and one can get a helluva deal...hmmm