Are Crime Statistics Related to the Real Estate Market?

Did you know that the crime statistics of the Unitedplus increased crime due to the foreclosure rate. Why
States are closely related to the real estate marketis there a direct correlation you ask?
performance? Specifically, crime has a directMuch of it has to do with the broken window theory.
mathematical relationship with the number ofThat is to say if a home has a broken window, or is
foreclosures in any given city in America.run down, then it looks like a target for crime,
Indeed, out in California near Riverside County, onetherefore it attracts criminals. Indeed, it also attracts
of the 3-worst real estate areas hit by the recession,homeless squatters who scour the neighborhood for
mostly due to over expansion at the top of themore things to steal, or druggies that are homeless
market and during the bubble run-up. There was aneeding to get out of the weather.
recent article in the LA Times that indicated an FBIOf course, there are all types of crimes associated
study which stated that for every 1% increase inwith a neighborhood that has gone sour, that looks
foreclosures, there was a 2.8% increase in crimerun down, and brings in the wrong element. This is
statistics. Quite frankly, that's just plain scary!what is happening now in many of those depressed
Areas such as Phoenix, Las Vegas, Riverside County,real estate markets at the bottom of the recession.
and most of Florida are experiencing increased crimeAlthough things are starting to recover, it will be a
rates. Interestingly enough, in California they have letwhile until all the jobs recover and everyone gets
people out of prison due to overcrowding, and theback to work. Until then we can expect more crime.
state's financial crisis. So, California has a doublePlease consider all this.
whammy, there will be more criminals on the street,