Increasing the Desirability of Housing Stock

Increasing the Desirability of the Neighborhood's Housing Stock

This is one of three strategic approaches for the goal of building a stronger market. Click here to read about all three in context.

The typical homebuyer looks to see where she can find housing that fits her needs and means, and whether the price of the housing and its appreciation potential are acceptable in light of the features of the house and its neighborhood. As a result, the first question in framing market-building strategies is whether the neighborhood’s housing stock is competitive with other areas; if not, how it can be changed to become more competitive.

There are four distinct market deficiencies that may exist in the housing stock, rendering the housing stock less competitive, discouraging people from investing in it, and hindering the neighborhood’s revival:

Physical characteristics of housing do not reflect market demand;
Cost to build or rehabilitate housing exceeds market value of new or improved property;
Properties in neighborhood are not appreciating, or are losing value; and
Potential buyers are unaware of availability of desirable housing stock.

Each of these can be addressed by market-building strategies