In disadvantaged neighborhoods, the condition of the housing stock can vary from block to block. On one block, homes appear well kept and in good condition, while on another, many homes show signs of physical distress. Since the blocks within the same neighborhood are often similar in terms of home values, what accounts for this pattern? The physical condition of the parcels could correspond to the level of home ownership, so that blocks with higher levels of home ownership are better maintained. It could also be that home maintenance is contagious and neighbors' efforts toward exterior home maintenance influence other neighbors. Self-selection could also be a factor: some households may choose to move to a block because they too want to engage in home maintenance, while others may choose to move to a block where home upkeep appears to be less important, because they themselves place less value on home maintenance.

The potential impact of a housing investment that improves the appearance of a housing parcel is also unknown. When a blighted property is improved, this investment could encourage neighbors to maintain their own parcels better. That is, a contagion effect could operate whereby one neighbor's efforts to improve the physical appearance of his or her housing parcel influence other neighbors to take similar action. We investigated the potential for home-maintenance contagion by tracking the physical condition of residential parcels before and after an abandoned abutting home underwent significant renovation. Using a tool that assessed the level of physical distress of housing parcels, we found no evidence of the contagion effect, and the renovation of an abandoned home had no measurable effect on the abutting neighbors' level of maintenance of their parcels in the short run. Of the variables investigated—proximity to a renovated property, inclusion in the NSP program, and home ownership—only home ownership was significantly associated with better home maintenance.