Economic Blight

DEFINITION of 'Economic Blight'

The visible and physical decline of a property, neighborhood or city due to a combination of economic downturns, residents and businesses leaving the area, and the cost of maintaining the quality of older structures. These factors tend to feed on themselves, with each one contributing to an increase in the occurrence of the others.

BREAKING DOWN 'Economic Blight'

Although many larger cities and rural manufacturing communities struggle with economic blight, the rapid rise of premium real estate prices over the last few decades led to renewed interest in these areas. Individual investors, as well as large developers, joined forces to successfully renovate and revitalize many areas struggling with economic blight, making a handsome profit along the way.

RELATED TERMS
  1. Visibility

    The extent to which future projections are probable. Visibility ...
  2. Gentrification

    Gentrification refers to when a neighborhood or city undergoes ...
  3. Slumburbs

    A slang term for the suburbs of once large and prosperous cities ...
  4. Economic Depreciation

    A measure of the decrease in value of an asset over a specific ...
  5. Real Estate Tier Classifications: ...

    Cities are categorized as Tier I, Tier II, or Tier III depending ...
  6. 18-Hour City

    A second-tier city with above-average urban population growth ...
Related Articles
  1. Personal Finance

    Why You Should Buy In Gentrifying Neighborhoods 

    Living in a gentrifying area has many benefits, not least of which is a property's investment potential.
  2. Managing Wealth

    Top 10 Features of a Profitable Rental Property

    Looking to purchase a rental property? These are the factors that should be considered for income-producing real estate.
  3. Personal Finance

    The Most Expensive Neighborhoods in Manhattan

    Understand why Manhattan has some of the priciest residential real estate in the world. Learn about the top four most expensive neighborhoods in Manhattan.
  4. Markets

    The Top 5 Under-the-Radar Cities for Job Seekers

    Don't be misled by 'Top 10' lists that rank cities purely on job growth. These cities get top marks for income growth and other key factors.
  5. Personal Finance

    Foreclosure Opens Doors For Real Estate Investors

    Learn how to spot hot properties that you can turn around for a profit.
  6. Entrepreneurship & Small Business

    The Best City to Become An Entrepreneur Is What?!

    These four U.S. cities form a new landscape of cities that nurture the entrepreneurial spirit.
  7. Personal Finance

    The Most Expensive Neighborhoods in San Francisco

    Learn about the city of San Francisco and why rent has increased so much in the past eight years. Discover more about the top five most expensive neighborhoods.
  8. Managing Wealth

    Best Ways to Tap Into New York City Real Estate

    New York is known for its real estate investment opportunities. Here are three ways you can invest in the city's real estate market to grow your wealth.
  9. Personal Finance

    5 Cities the Ultra-Rich Are Moving to

    Learn the top five cities worldwide that are attracting the most high-net-worth individuals, and discover factors that make a city appealing to the ultra-rich.
  10. Managing Wealth

    ‘18-Hour Cities’: The Next Big Thing for Real Estate Investors

    The rise of the ‘18-hour city’ is the latest trend to hit real estate – with high growth potential for investors.
RELATED FAQS
  1. What are the macroeconomic effects of allowing stock buying on margin?

    Learn about the macroeconomic effects of allowing stock purchases on margin, such as increasing present access to investment ... Read Answer >>
  2. If I haven't realized capital gains from selling a primary residence in the last ...

    My husband and I owned a home, sold it in 2013, and now we are considering buying a home but are uncertain of whether we ... Read Answer >>
  3. How does an economic downturn affect a cyclical stock?

    Discover the effects of an economic downturn on cyclical stocks. These stocks are highly leveraged to the business cycle ... Read Answer >>
  4. What is the cost of living difference between Boston and New York City?

    Discover MIT and Numbeo statistics that show that the cost of living in Boston, except for rental prices, is basically equal ... Read Answer >>
  5. What do real estate investors look for in a property?

    Profit from real estate investments by either flipping homes or becoming a landlord. Learn best practices for a successful ... Read Answer >>
  6. What criteria does a property need to meet to be considered an 'investment grade' ...

    Learn what it takes for institutional investors to consider a property "investment grade," such as real estate investment ... Read Answer >>
Hot Definitions
  1. Duration

    A measure of the sensitivity of the price (the value of principal) of a fixed-income investment to a change in interest rates. ...
  2. Dove

    An economic policy advisor who promotes monetary policies that involve the maintenance of low interest rates, believing that ...
  3. Cyclical Stock

    An equity security whose price is affected by ups and downs in the overall economy. Cyclical stocks typically relate to companies ...
  4. Front Running

    The unethical practice of a broker trading an equity based on information from the analyst department before his or her clients ...
  5. After-Hours Trading - AHT

    Trading after regular trading hours on the major exchanges. The increasing popularity of electronic communication networks ...
  6. Omnibus Account

    An account between two futures merchants (brokers). It involves the transaction of individual accounts which are combined ...
Trading Center