Wound on Dog's face

I have a 4 yr old yellow lab (male). Last weekend I was visiting my parents and noticed that he had a little discharge on the right side of his face, somewhat like a wound. I originally thought he might have gotten into a fight with my mom's dog, but upon further inspection there was no puncture wound. Gradually I noticed the area getting worse and yesterday I noticed the area is now about 1/2" in diameter and all of the hair is gone. The spot is also very red with a little bit of surface blood oozing from it. I cleaned the wound out with warm water and put some Neosporin on it and put him to bed for the night. This morning he seemed to be a little better (the wound had scabbed over slightly). Is there concern enough to take him to the vet? What about home remedies? Am I doing everything right?

Sounds like it may be a "hot spot" or an abcess. Both need vet care to ward off secondary infection.

Wouldn't I be able to see something if it was an abcess? Should I give it a couple days and see if it continues to get worse or better? Is the scabbing a good sign?

No, I would go in ASAP. If it is a hot spot it will grow and grow. Best to get at it before it gets worse.