Bullying is an important public health issue among adolescents. Few studies have examined how neighborhood context affects adolescent bullying. The purpose of this study was to examine the relationship between neighborhood collective efficacy and bullying perpetration and sought to determine whether future expectations mediated this relationship. A sample of 196 7th-grade students (60% female; 27% White) from a Midwestern school completed measures assessing past 30-day bullying perpetration, neighborhood collective efficacy, and future expectations. The effect of neighborhood collective efficacy on bullying was fully mediated by future expectations. Our findings suggest that neighborhood collective efficacy is associated with lower bullying perpetration by increasing adolescents' expectations for the future. Strong social relationships increase adolescents' perceptions of a positive future. Youth with more positive expectations of the future may be less likely to participate in bullying if they perceive the possible outcomes of bullying to be negative and an impediment to goals.