Is the neighborhood on the way up?

I recently showed one of my buyers a house in North Seattle (location to remain anonymous). It had everything she was looking for: close enough to I5 for commuting, but far enough away to be reasonably quiet, a fireplace, a skylight in the kitchen, an ample yard with lots of potential, etc. She liked the house, but wasn't quite sure she wanted to make an offer.
As we checked out the neighborhood, I began to feel uneasy about the lack of any visible improvements taking place. I mean, there were none. No new construction, no homeowners cleaning up their yards (it is winter, but junky cars and trash are not caused by it being winter). Now, I'm not a fan of the McMansions, but when new construction shows up in a neighborhood, it is an indicator that the area is “in transition”, and heading in the right direction.
Everyone knows in real estate you look for the house that needs the most work in the best area, and since that ‘s not always possible to find, my advice to would-be buyers is to be sure to observe what is happening in the neighborhood and choose an area that's obviously “on the way up.”