The real estate value of your home can fluctuate due to a number of factors. Whether or not there is a sex offender in your neighborhood may actually be one of those factors!
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You may have heard that a sex offender in your neighborhood dips the value of your home by a certain amount, but is that really true? Here's What You Need to Know About the Truth About Real Estate Value and Sex Offenders.
Value when moving in
It is true that the value of your home often goes down when a sex offender first moves in. Of course, this isn't really a problem if you don't want to sell, but it can be a problem if you want to move out. If a sex offender lives right next to your house, the average will drop about 12%, while a sex offender who lives within 0.1 miles of your house can drop the value by about 4%. This is not as obvious in low-value homes, but high-value homes can experience a significant drop even if they are in the same neighborhood.
Problems selling a home
When selling your home problems can arise if a sex offender lives in the area. Because sex offender registers are public, many people look for potential addresses before moving to find out more information about whether or not there are sex offenders in the area. If so, regardless of what the data suggests about crime and the effectiveness of these type of registers, they may be less inclined to buy the home. While it's possible to sell a home next to a sex offender, it can be more difficult.
The impact of crime in general
It's also important to remember that crime in general affects the value of your home, not just sex crimes. If you live in an area with a higher crime rate, you will find an overall lower house value. In a survey, homes in a category with a “very high” crime index averaged $ 157,844, while homes in a category with a “very low” risk index averaged $ 512,841. Sex offenders aren't the only thing that degrades the value of your home, and it's important to look out for them.
Protect yourself when buying or selling
Regardless of whether you are buying or selling a home, you need to make sure that you are prepared for any potential problems. This includes depreciation if a sex offender lives nearby or the potential danger that can arise if a sex offender lives next to you. Either way, it is a good idea to do as much research as you can before putting your home on the market or before buying a home.
Conclusion
Of course, a sex offender can have an impact on your property's value, but it's typically not as powerful as many other elements, including general risk factors for the area around your home. Plus, evidence shows that property value rises almost immediately once the sex offender moves out. As long as you know what's near you, you'll be prepared for anything.
