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Morris Invest’s Real Estate Wisdom: A Blog for Savvy Investors

Rising Rental Rates Defy Cooling Inflation Trends CPI Report Reveals

Rising Rental Rates Defy Cooling Inflation Trends CPI Report Reveals

The latest Consumer Price Index (CPI) report, released May 15, 2024, indicates that inflation has cooled a bit, but rising rental rates are still present. The overall inflation rate has shown signs of deceleration, with the CPI increasing by only 3.4% from the previous year, with a small 0.3% increase for April compared to the previous month's 0.4% rise. However, the cost of shelter, especially rents, continues to rise, placing a significant burden on housing affordability for millions of Americans. Inflation Pushed Up by Rising Rental Rates and Other Housing Data The shelter component of the CPI, which includes both rent and homeowners' equivalent rent, saw a 0.4% increase in April. Shelter costs experienced a 5.5% rise over the past year, marking the most moderate annual increase since June 2022...

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