How to Spot Up-and-Coming Neighborhoods Before They Boom

Identifying up-and-coming neighborhoods before they become the next big thing can be a game-changer for real estate investors...

Josh Dawson

July 29th, 2024

4 min read

Identifying up-and-coming neighborhoods before they become the next big thing can be a game-changer for real estate investors and homebuyers alike. These areas often offer more affordable properties with the potential for significant appreciation. Here’s a comprehensive guide to spotting these hidden gems before they boom.

Follow the Artists and Creatives

Artists and creative professionals are often the first to move into affordable, character-filled neighborhoods. Their presence can ignite a cultural renaissance, making these areas more attractive to a wider audience. Key indicators include:

New Galleries and Studio Spaces: The opening of art galleries and studio spaces suggests a growing creative community.
Indie Coffee Shops and Boutiques: Independent businesses often cater to the tastes of artists and creatives, signaling a shift in the local demographic.
Street Art and Murals: An increase in public art can indicate a neighborhood's burgeoning cultural scene.

Watch for Infrastructure Improvements

Investments in infrastructure are strong indicators of a neighborhood on the rise. Local governments and developers typically invest in areas they believe have growth potential. Look for:

New Public Transportation Routes or Stations: Improved accessibility can make a neighborhood more desirable.
Road Improvements or Bike Lanes: Enhancements in transportation infrastructure suggest a focus on making the area more livable.
Parks and Green Spaces: The development or renovation of parks can attract families and outdoor enthusiasts.

Monitor Business Development

Craft Breweries and Trendy Restaurants: These establishments often cater to young professionals and can signal a shift in the local demographic.
Co-working Spaces: The presence of co-working spaces indicates a growing population of freelancers and entrepreneurs.
Boutique Fitness Studios, Salons, and Other Services: High-end boutique shops like these reflect an increasing demand for lifestyle amenities.

Look for Educational Opportunities

Quality education is a major draw for families and can significantly impact neighborhood desirability. Indicators to consider include:

New Charter or Magnet Schools: The opening of specialized schools can attract families seeking quality education.
Improvements in Local School Ratings: Upward trends in school performance can make a neighborhood more attractive to homebuyers.
Adult Education or Vocational Training Centers: These institutions can indicate a focus on community development and skill-building.

Analyze Real Estate Trends

Real estate market data provides valuable insights into neighborhood growth. Important trends to monitor include:

Decreasing Days on Market for Listings: Faster sales suggest increasing demand.
Gradual Increase in Home Prices: Rising prices can indicate growing confidence in the neighborhood's future.
More Renovation Projects and Flips: An uptick in renovations and property flips suggests investor interest.

Check for Tech and Start-up Presence

The tech industry can drive significant neighborhood transformation. Signs of tech influence include:

New Co-working Spaces or Incubators: These facilities support startups and can attract a tech-savvy population.
Tech Companies Relocating to the Area: The presence of tech firms can boost local employment and economic growth.
Start-up Events or Meetups: Frequent tech events indicate a thriving entrepreneurial community.

Listen to Local Buzz

Local insights can provide early indicators of neighborhood potential. Ways to gather this information include:

Chatting with Local Business Owners: Business owners often have a pulse on neighborhood changes and future plans.
Attending Community Meetings: Community meetings can reveal upcoming projects and local initiatives.
Following Local Blogs and Social Media Influencers: These sources can offer real-time updates and insider perspectives.

Consider Proximity to Thriving Areas

Neighborhoods adjacent to popular areas often benefit from spillover effects. Factors to consider include:

Proximity to High-Demand Neighborhoods: Areas bordering thriving neighborhoods can become attractive alternatives.
Natural Boundaries: Overcoming barriers like rivers or highways can open up new areas for development.
Improved Transportation Links: New transportation options can make previously overlooked neighborhoods more accessible.

By keeping these factors in mind, it's possible to identify up-and-coming neighborhoods before they become widely recognized. This proactive approach can lead to smart investments and the opportunity to be part of a neighborhood's exciting transformation. Happy hunting!

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About the author

Josh Dawson

614.706.6288

Buying or selling real estate is more than a transaction—it’s a major life decision. You deserve a guide who brings not just experience, but clarity, strategy, and trust to the table. That’s where I come in. I was born and raised in Fostoria, Ohio—a blue-collar factory town where your word meant everything and people treated each other with respect. I come from a family of military veterans, tradesmen, and kind-hearted Midwesterners who taught me to do good, be good, and work hard. I carried those values with me to Ohio Wesleyan University, where I played football and graduated with the same commitment to perseverance and teamwork I bring to every client relationship today. My real estate career began not in Central Ohio, but as part of a Wall Street Journal Top 100 Team in Boston—one of the fastest-moving, most competitive markets in the country. Before real estate, I served in senior political roles, including State Director for the Massachusetts State Treasurer and Legislative Director in the State Senate. I even ran for State Representative and earned an endorsement from The Boston Globe—because I’ve always been driven to serve people, solve complex problems, and lead with integrity. Today, I bring those same values into my work as a real estate professional and former managing broker. I’ve led agents, negotiated complicated transactions, and taught hundreds of professionals how to master real estate contracts. I don’t just understand the fine print—I’ve taught from it. That insight often helps me make small but strategic contract adjustments that protect my clients or save them tens of thousands of dollars. I currently serve on the Columbus Realtors Broker Advisory Committee and am the Past-President of the Greater Dublin Realty Association, where I continue to advocate for professionalism, education, and client-first service across our industry. Clients know me for my steady communication and proactive approach. I hold weekly check-ins to ensure no one ever wonders, “What’s happening?” or “What’s next?” Whether I’m guiding a family through an emotional sale or helping a first-time buyer make a strong start, I act with clarity, empathy, and your long-term goals in mind. When I’m not working, you’ll often find me coaching my daughter’s softball team, spending time with my family, or fishing and boating in Port Clinton, where my parents now live. I live in Dublin with my amazing wife and our two beautiful daughters—and I consider it an honor to serve families across Central Ohio with focus, care, and professionalism. If you're ready to move forward with purpose, I’m here to help you do it wisely.